The Dow Jones Industrial Average fell on Tuesday after an early dose of economic data kicked off the short, final trading week of the year. China-based stocks rose as the nation further eased Covid restrictions. Tesla shares have since fallen about 5% This was reported by Reuters The electric car giant plans to implement a reduced production schedule at its Shanghai plant in January.
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Economic data on Tuesday includes two housing reports, with the Case-Shiller home price index and the FHFA Home Price Index — both at 9 a.m. ET — along with the Dallas Fed Manufacturing Survey at 10:30 a.m. ET.
The Case-Shiller home price index came in better than estimates in October, but still fell 0.5% after September’s 1.2% decline and 8.6% year-over-year gain. Meanwhile, the FHFA Home Price Index was flat for October, up 9.8% year-over-year.
Finally, the Dallas Fed Manufacturing Survey is expected to post a reading of -11.0 vs. the US in December. -14.4 in the previous month.
On the earnings front, the chart is bare this week, heading into the final week of 2022. Cal-Maine Foods 🇧🇷RESIDENT) sole reporter on Wednesday after closing.
Southwest Airlines 🇧🇷LUV) then decreased by more than 4% liquidated the company More than two-thirds of Monday flights plan to cut their schedules Tuesday and Wednesday because of the holiday winter storms.
The EV giant Tesla 🇧🇷TSLA) sank around 5% on Tuesday. Dow Jones technology leaders apple 🇧🇷AAPL) and Microsoft 🇧🇷MSFT) then mixed trading is done stock market today open
Medspace 🇧🇷MEDP🇧🇷 IBD Leaderboard stock Neurocrine biosciences 🇧🇷NBIX🇧🇷 O’Reilly Auto Parts 🇧🇷ORLY) and texas road house 🇧🇷TXRH) — as well as Dow Jones names amgen 🇧🇷AMGN) and caterpillar 🇧🇷CAT) are among the top stocks to consider for investor watch lists. Note that recent market weakness should keep investors on the defensive.
Neurocrine and Texas Roadhouse IBD Leaderboard stocks. Caterpillar and Medspace it was new IBD Stock of the Day companies.
Dow Jones today: Oil prices, Treasury yields
The Dow Jones Industrial Average was down 0.1% and the S&P 500 was down 0.3% after the opening bell on Tuesday. The tech-heavy Nasdaq composite was down 0.6% in morning action, with Tesla heading lower as China announced names. trip.com 🇧🇷TCOM🇧🇷 Pinduoduo 🇧🇷PDD) and JD.com 🇧🇷JD) made strong gains.
Between us exchange fundsNasdaq 100 tracker Invesco QQQ Trust (QQQ) 0.6% and the SPDR S&P 500 ETF (SPY) was down 0.1% early Tuesday.
Chinese officials have said the country will end its mandatory quarantine requirement for incoming travelers starting in January. 8. Restrictions on the number of passengers and international flights will also be removed. The latest move in China’s easing of what it said were strict Covid restrictions comes as infections are expected to spread rapidly across the country.
China-based solar manufacturers posted some of the strongest early moves JinkoSolar 🇧🇷JKS) and Dago New Energy 🇧🇷QD) over 4% each. ETFs include KraneShares CSI China Internet (KWEB) increased by 2.3%. iShares MSCI China (MCHI) added 2.2%.
The 10-year Treasury yield rose to 3.82% on Tuesday morning, and the 10-year yield rose after last week’s strong gains. Meanwhile, U.S. oil prices rose less than 1% on Tuesday, as West Texas Intermediate futures traded just above $80 a barrel in morning trade.
Stock Market Rally Under Pressure
The Dow Jones Industrial Average rose 0.5% and the S&P 500 rose 0.6% on Friday. The technically heavy Nasdaq composite was up just 0.2%.
Friday’s The Big Picture column commented, “The Nasdaq composite also pulled back from negative territory, though its gain was a miserly 0.2%. The tech-heavy index slipped 1.9% for the week and has work to do to break the downtrend. More than the S&P 500 this year bad, about 34% have given up.”
Now is an important time to read IBD’s Big Picture column amid continued stock market volatility.
Five Dow Jones Stocks to Buy and Watch Now
Dow Jones Stocks to Watch: Amgen, Caterpillar
Drugmaker Amgen continues to track a flat base amid a three-week losing streak. And stocks are below their 50-day line after sharp losses. For now, the correct buy point is 296.77, but the stock must first retrace its 50 days decisively. AMGN shares rose 0.6% on Tuesday.
Dow Jones member Caterpillar crossed the 239.95 buy point on a flat basis last week. according to IBD MarketSmith pattern recognition, and just a few cents below entry after Friday’s advance. As a bull, the stock’s relative strength line, a key technical indicator, is at new highs. CAT shares rose 0.2% on Tuesday.
cat stock showing a strong 98 from a perfect 99 IBD Composite Ratingfor IBD Stock Check. The Composite Rating is designed to help investors easily find the best growth stocks.
4 Best Growth Stocks to Watch During Treatmentrent Stock Market Rally
Top stocks to watch: Medpace, Neurocrine, O’Reilly, Texas Roadhouse
Medpace fell sharply from its 50-day line last week with a 3.3% gain. The stock rose 0.7% on Friday to extend its winning streak to four sessions. For now, the correct buy point appears to be at 235.82, but an earlier entry at 220.09 is also in play. MEDP shares fell 0.3% on Tuesday.
IBD Leaderboard Neurocrine stock fell 1.7% on Friday, ending a five-day winning streak that saw the biotech leader find support at its 50-day level. A strong rebound is bullish for the stock’s near-term outlook, and the stock is likely forming the right side of a new base. NBIX shares fell 0.1% on Tuesday.
O’Reilly Auto Parts also found much-needed support at its 50-day line last week, staying just above the 750.98 base entry. A big pullback from the 50-day line could provide a further entry point, but the market’s uptrend is currently under pressure, making the stock more likely to buy. Perhaps in the near future, a new base will be formed that will offer a new entry. ORLY shares rose 0.5% on Tuesday.
Texas Roadhouse shows a new buy point at 101.85 on a flat basis, but is now consolidating below its 50-day line. The IBD Leaderboard fund will look to recover this key indicator in the coming sessions, and the current two-day winning streak is a promising start. TXRH shares were slightly higher on Tuesday morning.
Stocks to Watch
These are four of the best stocks to watch in today’s stock market, including two Dow Jones leaders.
| Company Name | Symbol | The Right Buy Point | Base Type |
|---|---|---|---|
| Medspace | 🇧🇷MEDP🇧🇷 | 235.82 | consolidation |
| texas road house | 🇧🇷TXRH🇧🇷 | 101.85 | flat base |
| caterpillar | 🇧🇷CAT🇧🇷 | 239.95 | flat base |
| amgen | 🇧🇷AMGN🇧🇷 | 296.77 | flat base |
Source: IBD data as of December 27, 2022
Join IBD’s experts as they analyze the leading stocks in the current stock rally on IBD Live
Tesla shares
Tesla shares It fell another 2% on Friday, extending its losing streak to six sessions and hitting another 52-week low. Last week, Tesla shares fell 18% to a new 52-week low of 121.02. Shares closed about 69% below their 52-week high.
Shares extended losses on Tuesday morning and fell another 5% after Reuters reported that Tesla is extending production cuts that began this month into next year. Tesla shares hit a new low of 116.49.
Tesla reportedly halted production at its Shanghai factory on Saturday, hastening its plan to shut down production at the plant at the end of December.
Dow Jones Leaders: Apple, Microsoft
between Dow Jones stocks, Apple shares fell 0.3% on Friday to a 52-week low set on June 16 at 129.04. The stock is about 28% below its 52-week high. Shares fell 0.6% on Tuesday.
Microsoft shares rose 0.2% on Friday, but remain below their 50-day line after last week’s 2.4% decline. The software giant remains about 30% below its 52-week high. Shares of MSFT rose 0.1% on Tuesday.
Be sure to follow Scott Lehtonen on Twitter @IBD_SLehtonen For more information on growth stocks and the Dow Jones Industrial Average.
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