Dow Jones futures rose on Friday after the Federal Reserve’s favorite inflation indicator, the PCE price index, was released ahead of the market open. Nike shares fell sharply after missing Wall Street earnings estimates. The 10-year US Treasury yield is trying to break above its recent trading range ahead of the final session of the second quarter.
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Early Friday, the Commerce Department’s personal income and spending report for May was released. Personal income rose 0.4%, as estimated. The PCE price index rose 0.1% on the month, with an annual increase of 3.8%. Both numbers were estimates. The PCE core price index rose 0.3% on the month, with an annual increase of 4.6%, both slightly cooler than expected.
Dow Jones Giant Nike (NKE) wrapped up its 2023 fiscal year with mixed fourth-quarter results on Thursday evening. Nike stock received several downward revisions to price targets last week as inventory issues remained the Achilles’ heel of athletic footwear and apparel giant Dow Jones. The shares were down nearly 3% in premarket trading on Friday.
In the meantime, Constellation Brands (STZ) was down about 3% after its first quarter results.
stock market today
Electric vehicle giant You’re here (TSLA) added 1% Friday morning. Dow Jones tech giants Apple (AAPL) and Microsoft (MSFT) were higher ahead of today’s stock market open.
Other leaders in the stock market rally include Alphabet (Google T Meta Platforms (META). Alphabet and Meta shares both rose 1.2% in morning trading.
Chipotle Mexican Grill (GCM), MongoDB (MDB) and Research (LRCX) – as well as Dow Jones stocks JPMorgan Chase (JMP), Merck (MRK) and Selling power (CRM) – are among the best stocks to watch in the ongoing stock market downturn.
Tesla is an IBD Leaderboard stock, Lam Research remains an IBD SwingTrader stock, while MongoDB is featured in this week’s Stocks Near A Buy Zone column.
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Dow Jones Today: Oil Price, Treasury Yields
Ahead of Friday’s opening bell, ahead of the holiday-interrupted week of July 4, Dow Jones futures were up 0.5% from fair value. S&P 500 futures climbed 0.6%, while Nasdaq 100 futures rose 0.9% in morning action.
Among U.S. exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) rose 1%, while the SPDR S&P 500 ETF (SPY) rose 0.6% early Friday.
The 10-year US Treasury yield briefly rose to 3.87%, trying to break above its recent trading range ahead of the final session of the second quarter. The yield stood higher on Thursday at 3.85%, its highest closing level since early March.
Oil prices fell slightly on Friday morning, continuing to hold near recent lows. West Texas Intermediate futures were trading just below $70 a barrel, virtually flat for the week and down just 4% from the June 21 high.
Market share
On Thursday, the Dow Jones Industrial Average led the stock market higher, up 0.8%. In the Dow 30, Intel (INTC) slid 2%, falling further below its buy point of 33.84. So far, however, there is no sell signal.
On the rise, Goldman Sachs (GS) and JPMorgan Chase were big winners, rallying on Fed stress test news. Goldman shares rose 3% but remain below their 50-day line. JPM stock rose 3.5%, bouncing off the 50-day line and again breaking above the entry of 143.37 on a flat basis.
Elsewhere, the S&P 500 climbed almost 0.5% and the Nasdaq composite ended slightly lower. The small-cap Russell 2000 Index rose 1.2%, helped by rising regional banks.
Thursday’s Big Picture column commented: “This week, the Nasdaq successfully defended support at the 21-day exponential moving average, which should give investors a boost of confidence. With the continued decline in the stock market still in normal form, IBD’s recommended market exposure is still 60%-80%.”
Now is an important time to read IBD’s The Big Picture column, as the stock market remains in an uptrend but is pulling back.
Five Best Dow Jones Stocks to Buy and Watch Now
Dow Jones stocks to watch: JPMorgan, Merck, Salesforce
Dow Jones banking leader JPMorgan recovered to a fixed base buy point of 143.37 in Thursday’s big gains. The 5% buy zone rises to 150.54. JPM stock rose 0.5% on Friday morning.
Pharmaceutical giant Merck is forming a flat base with a buy point of 119.65, as the stock climbed 1% on Thursday. An early entry at 114.91 is also in play. MRK stock fell slightly on Friday.
Salesforce managed to stabilize after falling after earnings. It is currently testing support on the 50 day line. Tech megacap previously topped a pair of alternative entries at 194.01 and 200.10, according to IBD Leaderboard analysis.
Over the past few weeks, shares have reached the 20% profit zone from an entry of 178.94 cup with handle. CRM stock rose 0.2% on Friday morning.
4 best growth stocks to buy and watch in the market Stock market rally
Best stocks to buy and watch: Chipotle, MongoDB, Lam Research
Watchlist IBD Leaderboard Chipotle stock rebounded from support at its 10-week line and built a flat base with a buy point of 2,139.88, according to IBD MarketSmith Model Recognition. Early entry at 2,092.51 was also available due to a trendline. Chipotle was a recent IBD Stock of the Day. CMG stock rose slightly on Friday morning.
IBD SwingTrader Lam Research stock broke an early buy point of 615.80 and a tight 3-week setup with an entry of 630.72 during this week’s gains. LRCX stock gained 0.35% early Friday.
MongoDB is trading tight after its recent earnings-fueled jump, offering fresh entry. The tight three-week formation shows a buy point at 398.89, while aggressive investors could have used a trendline entry around 386. MDB stock was up 0.5% on Friday morning.
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Best stocks to buy and watch during the stock market rally
These are the four best stocks to buy and watch in today’s stock market, including a leader in the Dow Jones.
| Company Name | Symbol | Correct point of purchase | Point of purchase type |
|---|---|---|---|
| ASML | (ASML) | 683.18 | Mug with handle |
| Selling power | (RCMP) | 200.00 | Consolidation |
| Cloudy | (NET) | 66.20 | Double bottom |
| Roku | (ROKU) | 75.45 | Mug with handle |
Source: IBD data as of June 29, 2023
Join IBD experts as they analyze the top stocks of the current stock market rally on IBD Live
Tesla Stock
IBD Leaderboard Tesla stock extended its winning streak to three sessions on Thursday, up 0.5%. Amid the recent rebound, Tesla shares remain significantly out of the buy range past the 207.79 double-bottom buy point.
TSLA stock appeared to add to Thursday’s gains, rising 1% on Friday.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple stock hit a new high on Thursday, trading as high as 190.07. Stocks continue to hold strong above a buy point of 157.38. Early Friday, shares rose 1.2% after Citi began covering AAPL shares with a buy rating and price target of 240.
Microsoft shares slid 0.2% on Thursday, ending a two-day rally. On June 16, MSFT stock hit an all-time high of 351.47. Over the past few weeks, the stock has reached the 20%-25% profit zone from a fixed base buy point of 276.76, so investors could have taken at least some profit there. . And on Friday morning, Microsoft shares were up 0.8%.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen to learn more about growth stocks and the Dow Jones Industrial Average.
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