The Dow Jones Industrial Average cut into its gains Friday after the release of the Federal Reserve’s preferred measure of inflation, the Personal Consumption Expenditures price index. Meanwhile, Dell Technologies (DELL) plunged on the stock market today after the company issued a disappointing outlook.
X
After the opening bell, the Dow Jones Industrial Average rose less than 0.1%, as the S&P 500 inched lower. The tech-focused Nasdaq composite lost 0.3% in morning action.
Early Friday, the 10-year Treasury yield slipped to 4.51%. Oil prices climbed as West Texas Intermediate futures traded around $78.20 a barrel.
Among U.S. exchange traded funds, the Invesco QQQ Trust (QQQ) fell 0.3% while the SPDR S&P 500 ETF (SPY) inched lower.
Stock Market Today: Inflation Data
The Commerce Department’s personal income and outlays report updated the PCE price index, the Fed’s preferred inflation measure, for April. The index rose 0.3% on the month, with an annual increase of 2.7%, matching Econoday estimates. The core PCE price index also met Econoday’s forecasts, increasing 0.2% in April, with a year-over-year increase of 2.8%.
Dell Technologies plunged 19% Friday morning after the company’s own forecast proved disappointing. Dell matched Wall Street’s earnings target for its fiscal first quarter on higher-than-expected sales.
Other big earnings movers Friday include Costco (COST), Gap (GPS), MongoDB (MDB), NetApp (NTAP), SentinelOne (S) and Ulta Beauty (ULTA).
Costco shares slipped 1% in early trading, while Gap stock rocketed 20% higher. MongoDB shares plummeted nearly 23%, as NetApp rose 1.3%. Finally, SentinelOne plunged 25%, while Ulta Beauty surged nearly 6% in morning action.
Be sure to read how to adjust to changing market conditions, with IBD’s new exposure levels.
Dow Jones Slides
On Thursday, the Dow Jones industrials skidded nearly 0.9%, while the S&P 500 declined 0.6%. The Nasdaq composite lost 1.1%.
Investor’s Business Daily’s Big Picture column commented, “In the Dow Jones index, Salesforce (CRM) was the biggest loser Thursday, as the software maker plunged nearly 20%. Salesforce contributed to a decline of more than 352 points in the Dow, which closed 307 points lower. That’s the largest single-day point drag on the Dow in 20 years, per Dow Jones Market Data.”
During Thursday’s IBD Live show, the IBD Live team discussed the current trading conditions and how investors should handle the stock market today.
Now is an important time to read The Big Picture column amid the ongoing stock market action. Also, be sure to read how to adjust to changing market conditions, with IBD’s new exposure levels.
Learn How To Time The Stock Market With IBD’s ETF Market Strategy
Stock Market Today: Best Stocks To Watch
Birkenstock (BIRK), Netflix (NFLX), Robinhood Markets (HOOD) and TJX (TJX) — plus Dow Jones components Apple (AAPL), Merck (MRK) and Microsoft (MSFT) — are among the best companies to watch on the stock market today.
Microsoft was featured in IBD’s Stocks Near A Buy Zone column as it trades below a 430.82 buy point.
In IBD MarketSurge’s “Breaking Out Today” list, Apollo Global Management (APO) is trying to break out a 117.15 buy point. Check out the MarketSurge “Near Pivot” list for stocks nearing buy points in bases. To find more stock ideas, check IBD Stock Lists like IBD 50, Big Cap 20 and Stocks Near A Buy Zone.
Get Real-Time Buy And Sell Alerts On Stock Market Leaders With IBD Leaderboard
Dow Jones Component Merck
Drug giant Merck is building a flat base that has a 133.10 entry, but shares took a tumble below their 50-day moving average this week. The stock gained 0.3% on the stock market today.
Outside the Dow Jones index, Birkenstock soared nearly 12%, breaking out past a cup base’s 55 buy point Thursday. Birkenstock shares were up 2.7% in early action Friday.
Streaming giant Netflix lost 1.1% Thursday, holding above the 639 cup entry. Netflix stock was down 0.7% Friday.
Trading platform Robinhood broke out Thursday past a 21.21 handle entry with a 3.6% gain. Shares inched lower early Friday.
Finally, TJX decisively regained a 102.04 double-bottom entry Thursday, rallying 1.9%. The off-price retail giant added 0.1% Friday morning.
Find The Best Stocks To Buy And Watch With IBD Stock Screener And IBD Screen Of The Day
Stock Market Today: Companies To Watch
These are four stocks in or near buy zones in today’s stock market.
Company Name
Symbol
Correct Buy Point
Type Of Buy Point
Microsoft
(MSFT)
430.82
Flat base
Netflix
(NFLX)
639
Cup base
Crocs
(CROX)
146.79
Cup base
Taiwan Semiconductor
(TSM)
148.43
Double bottom
Source: IBD Data As Of May 28, 2024
Join IBD experts as they analyze leading stocks in the stock market today on IBD Live
Magnificent Seven Stocks: Nvidia, Tesla
Among Magnificent Seven stocks, Nvidia (NVDA) moved up 0.9%, and Tesla (TSLA) rose 0.2% on the stock market today.
Nvidia slid 3.8% Thursday, reversing lower after briefly notching new highs. The company is an IBD Leaderboard stock. Last week, Nvidia stock topped a secondary buy point at 974, gapping up to new highs.
Tesla stock climbed 1.5% Thursday, rebounding from its 50-day line. Shares remain about 40% off their 52-week high.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks in the Magnificent Seven, Apple and Microsoft traded mixed after Friday’s stock market open.
Apple stock rose 0.5% Thursday, still forming a cup base that has a 199.62 buy point. Shares added 0.1% Friday.
Microsoft shares tumbled 3.4% Thursday, falling below its 50-day line and sharply below a flat base’s 430.82 buy point. Early Friday, Microsoft stock moved down 0.6%.
Be sure to follow Scott Lehtonen on X, formerly known as Twitter, at @IBD_SLehtonen for more on growth stocks, the Dow Jones Industrial Average and the stock market today.
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