The Dow Jones Industrial Average rose on Monday, as Treasury yields continued to slide ahead of Federal Reserve Chairman Jerome Powell’s testimony on Tuesday. Global trade was mixed, although China set a lower-than-expected GDP growth target. Apple stock rose after Goldman Sachs started coverage with a buy rating, saying it could rise more than 30%, while Tesla fell in another round of price cuts.
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Economic data was scarce on Monday, with nothing coming out but factory orders for January. Factory orders fell 1.6% in January, better than estimates forecasting a 1.8% decline versus a 1.8% rise in December, Econoday estimated.
Looking ahead, a huge week of economic outlook kicks off Tuesday at 10 a.m. when Powell will appear before the Senate Banking Committee for his semi-annual testimony. Next, on Friday, will be the Labor Department’s February employment report.
On the earnings front, a maker of communications equipment Sina (CIEN) jumped 6% after reporting better-than-expected results for the first quarter of the fiscal year.
More of this week’s key earnings report includes: Wholesale BJ’s (BJ), CrowdStrike (CRWD), Dick’s Sporting Goods (DKS), JD.com (Dinar), MongoDB (mdb), Thor Industries (althoug) And Ulta Beauty (Ulta).
stock market today
electric car giant Tesla (TSLA) maintained the narrow gains on Monday morning after another round of price cuts was announced. Dow Jones Tech Giants apple (AAPL) And Microsoft (MSFT) rose after the stock market opened.
IBD Leaderboard Stock Watchlist Palo Alto Networks (Banu), Arista Networks (network), Toll Brothers (TOL) And sales force (CRM) – as well as Dow Jones shares American Express (AXP), Cisco systems (CSCO) And c. B. Morgan Chase (JPM) – among the top stocks to buy and watch, amid recent stock market strength.
Palo Alto is IBD Leaderboard Stock watch list. American Express appeared in the stocks column near the overbought zone last week.
Dow jones today: oil prices and treasury yields
After the market opened on Monday, the Dow Jones Industrial Average rose 0.3%, and the S&P 500 rose 0.4%. The tech-heavy Nasdaq Composite added 0.5% in the morning move.
Among the US ETFs, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ(up 0.4% and the SPDR S&P 500 ETF)spy) rose 0.3% early Monday.
The 10-year Treasury yield fell below 4% on Friday, closing at 3.96%, but still rising for the sixth straight week. Early Monday, the 10-year yield extended its losses, falling to 3.92%.
US oil prices fell after closing for their first gain in three weeks on Friday. West Texas Intermediate futures fell more than 1% on Monday morning: below $79 a barrel, but held near their highest level since mid-February.
The stock market rally strengthens
On Friday, the Dow Jones Industrial Average rose 1.2% and the S&P 500 rose 1.6%. The Nasdaq advanced 2%.
The Big Picture column commented on Friday, “This week’s positive move has seen the market return to a confirmed bullish state. This justifies increasing exposure to the 60% to 80% level. But investors should do so in a measured way in case this turns out to be a bear trap.” .
Now is an important time to read IBD’s The Big Picture column amid the now-faltering stock market rally.
Five Dow Jones stocks to buy and watch now
Dow Jones Stock Buying and Watching: American Express, JPMorgan
American Express has appeared in the stock column near the buy zone this week, and is rapidly approaching 182.25 buy points in a giant mug with a handle. Shares are down just 2% from their buy point, jumping 2.1% on Friday. To the upside, the stock’s relative strength line is at new highs, which is a particularly positive sign ahead of a potential breakout. AXP stock fell Monday morning.
Banking giant JPMorgan is in a buy range above 138.76 flat buy points amid a 1.8% gain on Friday, according to IBD MarketSmith chart analysis. Stocks found good support at the 50-day line in recent sessions. JPM shares rose early Monday.
JPM shares 93 constants from the 99 IBD classification show the perfect compound, per IBD stock check. The composite rating is designed to help investors easily find the highest growth stocks.
4 growth stocks to buy and watch Stock market rise
Top stocks to buy and watch: Palo Alto, Salesforce
Palo Alto Networks stock on the IBD Leaderboard’s watchlist is within close reach of 193.01 to base buy after rising 12.5% on Feb. 22. PANW stock was down 1.6% Monday morning.
Backstory: On February 21, the cybersecurity giant reported healthy results for the quarter ending in January that saw earnings of $1.05 per share, up 81% year-over-year, with revenue jumping 26% to $1.7 billion.
Last week, Dow leader Salesforce gapped bullish breakaway above 178.94 buy points on strong fourth quarter results. Shares rose 11.5% Thursday and are in the 5% buy zone which rose to 187.89. CRM stock rose 0.2% on Monday.
Backstory: Salesforce sells software under a subscription model. Its software helps companies organize and handle sales processes and customer relations. The company has expanded into marketing, customer services and e-commerce. Salesforce said it has dissolved its “mergers and acquisitions committee,” meaning it will not make large acquisitions, amid mounting pressure from activist investors.
Arista, Toll Eye Latest Buy Points
Arista Networks is just under 140.91 buy points from the base of the cup after Friday’s 3% advance. The decisive recovery puts the stock in a buy range as high as 147.96. ANET stock rose 0.4% Monday morning.
Backstory: Arista sells switches that speed connections between racks of computer servers packed into data centers. According to analysts, Arista is gaining ground in the so-called “enterprise” market – large corporations, government agencies, and educational institutions. Profits rose 72% in the most recent quarter.
Homebuilder Toll Brothers builds a cup coaster with handle that displays 63.29 POIs. To the upside, the stock’s RSI line has reached new highs during the recent market move. TOL Stock Shows IBD 91 compound rating. Shares of Toll Brothers were inactive early Monday.
Backstory: On February 21, luxury homebuilder Toll Brothers topped its earnings and revenue forecasts while maintaining full-year guidance. The homebuilder’s financial report comes as a 12-month decline in existing home prices in the US showed signs of slowing in January.
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Stocks to buy and watch the stock market rise
These are the six best stocks to buy and watch in the stock market today, including two Dow leaders.
| Company Name | Code | The right point of purchase | Point of purchase type |
|---|---|---|---|
| Arista Networks | (network) | 140.91 | cup base |
| Toll Brothers | (TOL) | 63.29 | mug with handle |
| American Express | (AXP) | 182.25 | mug with handle |
| Palo Alto Networks | (Banu) | 193.01 | merge |
| JPMorgan | (JPM) | 138.76 | Flat base |
| sales force | (CRM) | 178.94 | mug with handle |
Source: IBD data as of March 6, 2023
Join IBD experts as they analyze the leading stocks of the current stock market rally on IBD Live
Tesla stock
Tesla stock rose 3.6% on Friday, rebounding from Thursday’s slide of 5.85%, snapping a three-day losing streak.
The shares looked set to add to Friday’s gains, but were down 1.3% in morning trading Monday. The EV giant has slashed prices for its more expensive models, with the Model S and X now starting at $89,990 and $99,990 in the US, down 5.3% and 9.1%, respectively. According to Bloomberg.
Dow Jones leaders: Apple and Microsoft
Among Dow Jones stocks, Apple shares jumped 3.5% on Friday, making an upward move above the 200-day line. Shares are down nearly 16% from their 52-week high. Shares of Apple rose 2.3% Monday after a Goldman Sachs buy rating and a price target of 199, a 31% premium from Friday’s closing price.
Microsoft shares pulled back from the 200-day line after Friday’s advance of 1.7%. The stock is down nearly 20% from its 52-week high after recent declines. MSFT shares rose 0.8% early on Monday.
Be sure to follow Scott Lehtonen on Twitter at @employee Learn more about developing stocks and the Dow Jones Industrial Average.
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