The Dow Jones Industrial Average and other stock indexes ended the session with modest losses Tuesday after initially climbing before reversing lower around noon ET. Investors were uninspired amid tariff uncertainty and the first look at earnings. Bank stocks were an early bright spot as several names reported first-quarter results. Meanwhile, a recent new issue and component of the IBD 50 list surged on the stock market today.
The Dow Jones index gave back earlier gains and closed lower almost 0.4%. The S&P 500 lost less than 0.2% as the benchmark index's 50-day moving average passed below its 200-day moving average in what is known as a "death cross," a sign of market weakness.
The Nasdaq also gave up less than 0.1%. But small caps on the Russell 2000 managed to eke out a 0.1% gain.
Volume was significantly lower on the Nasdaq and the New York Stock Exchange compared with the same time Monday, in preliminary numbers. On the Nasdaq exchange, rising stocks edged out falling issues slightly, while on the NYSE, gainers beat losers by 5-to-4. The NYSE, Nasdaq and bond markets will close for Good Friday.
The benchmark 10-year Treasury bond yield shed four basis points to 4.32% Tuesday afternoon. And oil prices dipped to around $61.50 a barrel.
In economic news, the Empire State Manufacturing Index came in at -8.1 for April vs. the -10 estimate and was an improvement over the -20 March reading. The negative number represents a decline in business activity in New York State.
Stock Market Today: Recent IPO Jumps
Recent initial public offering and IBD 50 name Karman Holdings ended the day around 5% higher as it continued its upward trajectory. Shares currently trade in large daily swings and have yet to form a base.
Karman stock has rallied since the maker of aerospace components reported its first earnings release since its IPO on Feb. 13.
Karman showed a profit of 10 cents a share in 2024 with estimates calling for 39 cents a share for full-year 2025. The defense company predicted 2025 revenue in the range of $423 million to $433 million, with the midpoint just ahead of FactSet expectations for $427.8 million.
Karman, as well as a number of other promising newer issues, got some air play on the Tuesday episode of IBD Live.
Thomson Reuters broke out of what would normally be a flat base with a 180.42 buy point and is in the 5% buy zone up 189.44. Its relative strength line reached a 52-week high while the stock set an all-time high on the stock market today.
Reuters provides data and technology solutions to the legal, tax and accounting, news and media and risk management industries.
1:57 p.m. ET
CrowdStrike Outperforms
IBD 50 player CrowdStrike Holdings powered up nearly 5% after Capital One Securities raised its price target to 431 from 406 and maintained its overweight rating. Shares are on pace for their sixth rising session out of the last seven.
Shares are forming a double-bottom pattern with an early entry at 392.69. The pattern lies within a deep consolidation with an official 455.59 buy point. The cybersecurity stock retook its 50-day line on the stock market today and is finding resistance at the 400 price level.
Hewlett Packard Enterprise rallied 4% in heavy volume on news that activist investor Elliott Investment Management has taken a $1.5 billion stake in the company. The stock has been a laggard as seen in its dismal 17 Relative Strength Rating and 30% loss so far this year.
Rocket Lab USA surged around 6% in heavy volume after the rocket and spacecraft maker was chosen for two large contracts, including one from the U.S. Air Force. The stock is 39% off its 52-week high set on Jan. 24, after a spectacular climb that began in August.
Rocket Lab is not yet profitable, but analysts see its losses dwindling to 31 cents a share in full-year 2025 from 38 cents in 2024. A loss of 4 cents a share is seen for 2026.
Market Again Hits Resistance; These Stocks Are In Buy Areas
12:32 p.m. ET
Recent IPO Name Breaks Out, Netflix Pops
Double-bottom bases seem to be abundant as stocks from varying industries look to recover from recent lows. ServiceTitan soared 5.8% in heavy volume and broke out of a double-bottom base with a 106.99 buy point. Shares are in the 5% buy zone up to 112.34 and the stock reached a record high.
This is the first base that has formed since ServiceTitan stock started trading on Dec. 12, with an offer price of 71, but shares started and closed at 101. Investors should be cautious of breakouts and new buys during the current market correction and should follow risk management rules, including cutting losses at 7%. In addition, ServiceTitan's status as a recent initial public offering brings an additional layer of risk.
The stock's relative strength line hit a new high as shown by the blue dot on its MarketSurge chart. ServiceTitan operates a software platform used in trade industries, including plumbing and electrical as well as heating and air-conditioning systems.
Relx popped 2.7% and also broke out of a double-bottom base; it has a 50.59 entry point. The stock is in a buy range up to 53.12. Its RS line is at a 52-week high.
The U.K.-based company provides data analytics used in the medical, legal and risk management fields.
Netflix jumped more than 5% and is nearing a 998.70 buy point out of a double-bottom formation. The IBD Big Cap 20 name reclaimed its 50-day line while its RS line hit a new high.
The jump came following Monday's news that the streaming giant has its sights on the $1 trillion market-capitalization level and strives to double its revenue by 2030, according to the Wall Street Journal.
Netflix stock was the biggest gainer on the S&P 500 and the Nasdaq 100 Tuesday.
10:42 a.m. ET
Nvidia And Palantir Rise
Nvidia ticked 0.5% higher and is holding above its 21-day exponential moving average.
Palantir Technologies kept its upward momentum alive and advanced 3.5% following Monday's 4.6% increase. Shares moved above their 50-day line after closing on it Monday.
The stock is forming what would normally be a double-bottom base in a conventional market with a 98.17 buy point. But the buy point is only used during strong market environments and IBD continues to recommend 0% to 20% stock market exposure.
Earnings Movers: These Bank Stocks Rise
Elsewhere, Bank of America surged nearly 4% after the company topped first-quarter earnings and sales estimates. Its net interest income also exceeded forecasts.
"Though we potentially face a changing economy in the future, we believe the disciplined investments we have made for high-quality growth, our diverse set of businesses, and the team's relentless focus on responsible growth will remain a source of strength," Chief Executive Brian Moynihan said in the earnings release.
Shares have underperformed as seen in the bank stock's melancholy 35 IBD Relative Strength Rating and 16% year-to-date loss.
Citigroup notched a 2.9% gain on the stock market today following the bank's beat on first-quarter profit and revenue projections.
Stock Market Today: PNC Gets A Bump, J&J Does Not
PNC Financial Services bumped up nearly 2% after the regional bank beat first-quarter earnings but missed revenue forecasts. Its net interest income rose 6%. PNC stock is also weak and far below its 200-day moving average.
Dow Jones component Johnson & Johnson reversed lower by nearly 1% despite the fact that the drugmaker's first-quarter profit and sales came in better than expected. J&J raised 2025 its revenue outlook but held its earnings projections.
J&J stock is trying to form a new base after plunging 7.6% on April 1, after a judge rejected its $10 billion proposal to settle thousands of lawsuits claiming its baby powder caused cancer. Shares remain below their 200-day line.
Albertsons plunged around 7% after the grocery store operator reported higher-than-expected sales and earnings for its fiscal fourth quarter. But its fiscal 2025 profit outlook disappointed.
Albertsons' shares plunged below their 50-day line and found support at the 200-day level. Albertsons stock gave back a 7% gain from the 21.67 buy point of a cup-with-handle breakout in late March and are back below the entry.
The drop triggered the 7% sell rule from the buy point.
Follow Kimberley Koenig for more stock market news on X, the platform formerly known as Twitter, @IBD_KKoenig.
