The Dow Jones industrial average rose 400 points to a record high on Monday afternoon, thanks to Microsoft’s breakout and Friday’s bullish job report.
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The S&P 500 rose 1.4%, the Nasdaq rose 1.3% and the Dow Jones industrial average rose 1.2% in the stock market today. Small-cap capitalization followed by the Russell 2000, 0.4% higher, lagged behind. The volume was lower on both major wallets by the same time Thursday.
On Friday, the Labor Department’s labor report in March showed a profit of 916,000 for non-farming. Economists are expected to get 625,000 higher than payrolls.
Technical stocks raised the Nasdaq to a 43.6% increase in 2020 for its fifth best year ever. The S&P 500 rose 16.3% and the Dow rose 7.2% last year. After a strong start this year, the market is now coming back due to a brief correction. Read the big picture for detailed daily market analysis.
The Covid-19 pandemic has impressed the US economy as nationwide blockades hit the one-year mark. But many states are easing restrictions, and there are signs of hope as vaccinations begin to flow and cases in some states begin to flatten.
US stock market overview today |
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|---|---|---|---|---|
| Index | Symbol | Price | Profit / loss | % Change |
| Dow jones | (0DJIA) | 33559.34 | +406.13 | +1.23 |
| S&P 500 | (0S & P5) | 4077.51 | +57.64 | +1.43 |
| Nasdaq | (0NDQC) | 13659.81 | + 179.70 | +1.33 |
| Russell 2000 | (IWM) | 224.01 | +0.27 | +0.12 |
| IBD 50 | (FFTY) | 44.62 | +0.01 | +0.02 |
Last updated: 12:00 ET 5/05/2021 |
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Cumulative Covid-19 cases worldwide have pulled 132 million, with nearly 2.9 million deaths, according to Worldometer. In the US, cases are approaching 31.4 million and 569 000 deaths, although the number of new cases in the US has decreased dramatically.
Dow winners and losers
Walgreens Boots Alliance (WBA), Microsoft (MSFT) and Walmart (WMT) rose about 3% each on the Dow index with a blue chip.
Microsoft rose twice normal trading by 2.7% to break to a 246.23 flat-base buying point, according to the MarketSmith chart analysis. It remains in a buying range rising to 258.54. The basis is the second phase, which means that Microsoft shares may still have room to run. Stocks often make their greatest benefit from such early stages.
However, a rating of 42 relative strength means that 55% of all other stocks outperform the software giant. Its relative strength line also lags behind. Microsoft is an IBD Leaderboard and IBD Long Term Leader inventory.
Walgreens, which rose 3.3%, traded at an exchange rate of 56.22. Shares rose 3.6% on Thursday after the pharmacy chain reported a fiscal quarterly gain that was above Wall Street’s forecasts.
Among others Dow winners, Boeing (BA) and Intel (INTC) achieved more than 2% per piece.
Only three blue slides were lower, but with less than 0.5% each: Disney (DIS), Chevron (CVX) and Goldman Sachs (GS).
Outside The Dow
Car manufacturers, software, Internet content and drugstore supplies have led the way among IBD’s 197 industry groups. But solar and oil and gas supplies lagged behind.
In the Internet content group, Alphabet (GOOGL) jumped 3.4%, removing a 2,145.24 flat-base buying base in heavy trading. On a weekly chart, it also broke out after a three-week tight pattern with the same buying point. Shares remain in the buy range, ending at 2,252.50.
The U.S. Supreme Court ruled in Alphabet’s favor on Monday in a copyright dispute with Oracle (ORCL) which includes Android software. The court ruled 6 to 2 in Google’s favor. Alphabet is a ranking stock.
Tesla (TSLA) crossed a rapid turnover of almost 5% higher as it got closer to its 50-day moving average. It may be building a new base, but it’s too early to identify a buying point.
The electric car giant reported Q4 deliveries of 184,000, which could easily beat the views. Delivery increased by 109% from a year ago and by 2.3% compared to the fourth quarter, which withstands the forecasts for a successive decline. According to FactSet, analysts forecast an average of 168,000.
Tesla’s Q1 deliveries consist exclusively of Model 3 and Model Y, although the production total of 180 338 included 2,020 Model S sedans and Model X SUVs.
Garmin breaks out
Garmin (GRMN) rose 2.5% to break out after a 133.53 buyout of a first-phase flat base. The volume was about 33% higher than usual. The strongest eruptions are usually in the trade, at least 40% higher than normal. Shares are within 140 to 21.21.
The manufacturer of fitness watches and GPS devices has a 97 Composite Rating, which provides investors with a quick way to determine the key growth characteristics of a stock. This places Garmin at the top of the electronic consumer product group with 14 shares.
The Innovator IBD 50 ETF (FFTY) rose slightly higher, led by Tesla, Southern Copper (SCCO) and Sibanye Stillwater (SBSW). But 360 DigiTech (QFIN), at home (ATHM) and Wayfair (W) weighed.
Follow Nancy Gondo on Twitter @IBD_NGondo
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