Dow Jones futures bounced modestly Friday morning, along with S&P 500 futures and Nasdaq futures, after Thursday’s stock market sell-off. Cathie Wood’s Ark Invest ETFs loaded up on Palantir stock, while biotech Seagen surged on positive trial results.
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S&P Global releases its preliminary composite Purchasing Managers’ Index (PMI) for September at 9:45 a.m. ET. The manufacturing index is expected at 47.8 in September, down slightly from August’s 47.9 reading. And the services index is expected to fall to 50.2 this month compared to August’s 50.5.
Seagen (SGEN) bolted almost 4% higher in early action, after announcing positive phase 3 trial results in a combination drug using Keytruda to treat advanced bladder cancer. The move implied a starting bell breakout past a flat base buy point at 207.16.
Palantir Technologies (PLTR) rose 1.2% Friday morning, as Cathie Wood’s Ark Invest ETFs bought more than one million shares of the AI stock, valued at $14.92 million based on the closing price. Shares are consolidating below their 50-day line after a big move starting in May. Look for a retake of that level as a bullish sign for the stock’s prospects.
Stock Market Today
Dow Jones aerospace giant Boeing (BA) dropped after CFRA downgraded the stock from buy to hold, with a lowered price target from 253 to 210. Shares are set to extend a losing streak to six sessions.
EV giant Tesla (TSLA) traded up 0.4% Friday morning, while Nvidia (NVDA) gained 0.8%. Dow Jones tech icons Apple (AAPL) and Microsoft (MSFT) traded higher, ahead of today’s stock market open.
Stock market leaders Alphabet (GOOGL) and Meta Platforms (META) both moved up modestly in early action.
Dow Jones Today: Oil Prices, Treasury Yields
Ahead of Friday’s opening bell, Dow Jones futures rose 0.2% vs. fair value, while S&P 500 futures gained 0.4%. Tech-heavy Nasdaq 100 futures rallied 0.7% vs. fair value, with China-based names leading the index after a strong session overnight in Hong Kong.
Among U.S. exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) added 0.4%, while the SPDR S&P 500 ETF (SPY) rose 0.2% early Friday.
Early action Friday also showed the 10-year U.S. Treasury yield at 4.48%, set to finish with a big weekly gain.
Oil prices retook some ground after a mild four-day dip. West Texas Intermediate futures rose 1% in morning action, trading right at $90.50 a barrel and effectively even for the week.
Five Best Dow Jones Stocks To Buy And Watch Now
Stock Market Sell-Off
On Thursday, the Dow Jones Industrial Average sold off 1.1%, while the S&P 500 declined 1.6%. The tech-heavy Nasdaq composite dived 1.8%, and the small-cap Russell 2000 slipped 1.6%.
Thursday’s Big Picture column commented, “During market corrections, investors should primarily be on the sidelines until the start of a new uptrend. Instead of tuning out, create a watchlist of leading stocks that could be market leaders in the next uptrend.”
Now is an important time to read IBD’s The Big Picture column as the stock market extends its losses and hits recent lows. Be sure to read how to handle the ongoing stock market weakness and prepare for a new uptrend.
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Dow Jones Stocks: Caterpillar, Intel
Dow Jones leader Caterpillar is approaching a new flat base’s 293.88 buy point after strong gains since early June. CAT stock dropped 2.4% Thursday, closing below the 50-day line. Shares bounced 0.4% Friday morning.
Chip giant Intel triggered the 7% sell rule below a 37.19 flat-base entry during this week’s sharp losses. INTC stock rose 0.4% early Friday.
4 Top Growth Stocks To Buy And Watch In The Stock Market Correction
Stocks To Watch: Airbnb, Axon, DraftKings, Uber
Recent IBD Stock Of The Day, Airbnb, continues to build a cup-with-handle base with a buy point of 151.16. But ABNB stock tumbled further below its 50-day line during Thursday’s 3.8% drop. Airbnb shares rose 0.5% Friday morning.
Axon Enterprises declined 3.55% Thursday, trading about 4% away from a cup with handle’s 217.61 buy point. AXON stock moved up 0.4% Friday.
IBD Leaderboard watch list stock DraftKings is building a cup with handle that has a 32.65 buy point, per IBD MarketSmith pattern recognition. Shares are consolidating below their 50-day moving average, a key level to watch. DKNG stock was up 0.5% Friday morning.
Uber Technologies also fell below its key 50-day line, sliding 4.2% Thursday. UBER is forming a flat base with a 49.49 entry. Shares ticked up 0.5% early Friday.
Learn How To Time The Market With IBD’s ETF Market Strategy
Best Stocks In Today’s Stock Market Action
These are four best stocks to buy and watch in today’s stock market, including a Dow Jones leader.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Uber Technologies | (UBER) | 143.63 | Flat base |
| Caterpillar | (CAT) | 293.88 | Flat base |
| Airbnb | (ABNB) | 154.95 | Cup base |
| DraftKings | (DKNG) | 32.65 | Cup with handle |
Source: IBD Data As Of Sept. 21, 2023
Join IBD experts as they analyze leading stocks in the current stock market correction on IBD Live
Tesla Stock
Tesla stock skidded 2.6% Thursday, closing just above its 50-day line. Shares gave up their early entry at 261.18. And TSLA stock has a 299.29 official cup-base buy point, but an early entry 278.98 is also in play.
On Friday morning, TSLA stock rose 0.4%, looking to recover a small part of Thursday’s losses.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple stock dropped another 0.9% Thursday, further below its 50-day line after sharp losses in recent weeks. AAPL stock continues to build a flat base with a 198.23 buy point. Shares rose 0.5% Friday morning.
Microsoft shares are moving further below their 50-day line, with a 0.4% fall Thursday. And on Friday morning, the stock gained 0.3%.
Be sure to follow Scott Lehtonen on X/Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
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