The Dow Jones Industrial Average rose 0.3% at midday Friday as the rebalancing of the Nasdaq 100 began and options expire.
The S&P 500 gained 0.3%, while the Nasdaq lagged with a gain of 0.2% as of 12 p.m. ET. Among sectors, Healthcare and Utilities rose, while Materials and Communication Services lagged.
Apple (AAPL) will have the heaviest weight after the rebalancing of the Nasdaq 100. Its weight will drop from 12.1% to 11.5%. Microsoft (MSFT) will fall to second place, dropping from 12.8% to 9.8%.
Stocks getting a higher weighting in the Nasdaq 100 could include Starbucks (SBUX), Mondelez (MDLZ), Reserve credits (BKNG), Analog devices (ADI), Gilead Sciences (GILD) and Automatic data processing (ADP).
Volume on the NYSE and on the Nasdaq was lower compared to the same time Thursday.
The small-cap Russell 2000 gained 0.1%, while the Innovator IBD 50 (FFTY) ETF fell 0.2%
Crude oil climbed more than 1% to trade at $76.75 a barrel. The yield on the benchmark 10-year Treasury fell 3 basis points to 3.82%.
Dow Jones Stocks
Intel (INTC) rose near its buy point of 33.84 ahead of next week’s earnings. Apple rose, while Microsoft pared its early gains amid the Nasdaq 100 rebalancing, which officially takes effect on Monday.
Stocks move today
American Express (AXP) maintained its full-year outlook after CEO Stephen Squeri noted that cardholder spending hit a “record high” in the second quarter. But revenues disappointed. Warren Buffett stock fell more than 3% at midday.
Outside the oil giant Dow Jones SLB (SLB) fell 3% after the earnings announcement on Friday morning. Intuitive surgery (ISRG) fell more than 2% after Thursday night’s earnings release.
Taiwan semiconductor (TSM) fell 0.1%. Ark Invest fund manager Cathie Wood scooped up more shares of the chipmaker. On Thursday, TSM beat views but lowered its sales outlook for the current quarter. TSM stock undercut its base after losing its 50-day line. He’s on pace for a six-game losing streak.
Wood’s ARK Autonomous Tech ETF (ARKQ) Sold General Engines (GM) ahead of Tuesday’s results.
Among automotive stocks, Autoliv (ALV) broke after earnings. The stock widened above the 98 buy point in strong volume. But AutoNation (AN) triggers a round trip sell signal after the company’s second quarter results. The company is seeing its margins fall.
Heico (HEI) approaches a handle cup entry at 177.91
HubSpot (HUBS) is close to a tight three-week entry of 535.12, according to IBD MarketSmith. Herc (HRI) builds a cup base with an entry of 162.47, but shares fall below the 21-day line.
Media company linked to Donald Trump Acquisition of the digital world (DWAC) jumped 80% earlier in the stock market today after settling charges with the SEC, but pared some gains. The stock was up 50% at noon.
In the IBD classification, MongoDB (MDB) was almost stable. Stocks are in a buy zone from an entry of 398.89.
caterpillar (CAT) fell 1% but remains in a buy zone from an entry of 250.89 with profits expected on August 1st. The Dow Jones component is on IBD SwingTrader.
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