Dow Jones futures, as well as S&P 500 and Nasdaq 100 futures, were lower ahead of Tuesday’s stock market open. Artificial Intelligence Stocks Palo Alto Networks (PANW) plunged its profits Monday evening. And later this week, Nvidia (NVDA) results and minutes of the latest Federal Reserve policy meeting are expected to be released.
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Top performers in Monday evening earnings include Palo Alto Networks and Zoom video communications (ZM). Cybersecurity leader Palo Alto plunged more than 9% in extended trading, while Zoom stock pared its losses to less than 1%.
Next week will see the release of Federal Reserve minutes for May on Wednesday. Investors will be looking for further clues about what Fed Chairman Jerome Powell and other central bankers are thinking about where interest rates will move in the future.
Other economic reports due next week include existing home sales on Wednesday, new home sales on Thursday and S&P flash U.S. purchasing managers’ index data for manufacturing and services, which will be released THURSDAY.
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Stock market today
On Monday, the Dow Jones Industrial Average fell 0.5% and the S&P 500 rose 0.1%. The tech-heavy Nasdaq composite index climbed 0.7%.
Robinhood Markets (HOOD), PDD (PDD), Taiwan Semiconductor Manufacturing (TSM), Exchange Office (TTD) and Commercial Web Marketplaces (TW) — plus Dow Jones components JPMorgan Chase (JPM) and Merck (MRK) – are among the best companies to watch on the stock market today.
And the tech icons of the Dow Jones Apple (AAPL) and Microsoft (MSFT) finished higher in today’s stock market, with Apple and Microsoft up 0.6% and 1.2%, respectively.
Microsoft and Trade Desk are presented in this column Stocks close to a buy zone.
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Dow Jones Today: Oil Prices and Treasury Yields
Ahead of Tuesday’s open, Dow Jones futures fell 0.1% from fair value, while S&P 500 futures edged lower. Tech-heavy futures contracts on the Nasdaq 100 were down 0.1% from fair value. Remember that overnight action on Dow Jones futures and elsewhere does not necessarily translate into actual trading during the next regular trading session.
On Monday, the 10-year U.S. Treasury yield rose to 4.44%. And oil prices fell, as West Texas intermediate futures settled at around $79.20 a barrel.
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Stock market today: what to do now
Now is an important time to read IBD’s The Big Picture column in the context of the ongoing stock market rally. After Monday’s action, be sure to check out today’s The Big Picture for an updated level of exposure.
On Monday’s IBD Live show, the IBD Live team discussed current business conditions and continued to explore the prospects for a new energy trend in the market.
An essential resource for everyday breakouts is IBD MarketSurge’s “Breaking Out Today” list. It shows MarketSurge Growth 250 stocks moving past buy points. Notably, Abercrombie & Fitch (ANF) rose above the 140.28 buy point of a consolidation. Meanwhile, MarketSurge’s “Near Pivot” list shows stocks near buy points in the bases.
To find more stock ideas, check out IBD stock lists like IBD 50, Big Cap 20, and stocks near a buy zone. These features identify uptrends and buy points and can be checked daily.
Dow Jones: JPMorgan, Merck
JPMorgan gave up entry from its flat base at 200.94 during Monday’s 4.5% decline. Meanwhile, pharmaceutical giant Merck is building a flat base with a 133.10 entry.
4 Most Important Growth Stocks to Watch in the Market share
Outside of the Dow, Temu’s parent PDD is in a buy range beyond A Cup with Handle’s 142.32 buy point, according to IBD MarketSurge.
Robinhood Markets rose 3.7% on Monday, surpassing a 20.55 buy point in a cup base. Chipmaker Taiwan Semiconductor is in a buy range above a 148.43 buy point in a double-bottom base following strong recent gains.
Trade Desk climbed 2.9% on Monday, closing again above a 94 entry in a consolidation. And Tradeweb is squarely in its buy range above the 108.04 buy point on a flat base, despite falling 1.8% on Friday.
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Stocks to watch
These are four stocks that are in or near buy zones in the current stock market.
| Company Name | Symbol | Correct purchase point | Point of purchase type |
|---|---|---|---|
| Microsoft | (MSFT) | 430.82 | Flat base |
| Robinhood Markets | (HOOD) | 8:55 p.m. | Cup base |
| Taiwan Semiconductor | (TSM) | 148.43 | Double bottom |
| Commercial Web Marketplaces | (TW) | 108.04 | Flat base |
Source: MII data as of May 20, 2024
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Seven Magnificent Stocks: Nvidia, Tesla
Among Magnificent Seven’s actions, Nvidia (NVDA) rose 2.5%, while You’re here (TSLA) slipped 1.4% on Monday.
Nvidia stock rebounded above the 50-day line again on Monday. Shares of the artificial intelligence giant are above a buy point at 922.20. The AI Leader is an IBD Rankings stock.
Nvidia’s results will be released Wednesday after the market close. Analysts surveyed by FactSet expect the graphics chip maker to earn adjusted earnings of $5.60 per share, up 414% year over year, on revenue of $24.59 billion. , up 242% in the quarter ended April 28. This would mark its fourth consecutive quarter of tripling. -Single-digit percentage growth in sales and profits.
Tesla stock ended a two-day winning streak on Monday. Stocks are trying to find support around their 50-day line.
Dow Jones leaders: Apple, Microsoft
Among the Dow Jones stocks in the Magnificent Seven, Apple stock gained 0.6% on Monday, closing at its highest level since late January. Stocks forming the right side of a new base that has an entry of 199.62.
Microsoft shares climbed 1.2% on Monday, closing in on the 430.82 buy point on a flat base.
The software leader is expected to announce new initiatives in the field of artificial intelligence at its Build 2024 event, which begins Tuesday. Dow component will look to maintain momentum in AI following Google-parent Alphabet(GOOGL) recent I/O developers conference.
Be sure to follow Scott Lehtonen on X/Twitter at @IBD_SLehtonen to learn more about growth stocks and the Dow Jones Industrial Average.
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