The Dow Jones industrial average dipped more than 400 points on Thursday afternoon as shares were sold despite better-than-expected weekly data on jobless claims.
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The Nasdaq sank 3.4%, the S&P 500 shook off 2.2% and the Dow Jones industrial average gave up 1.5% in the stock market today. Small-cap capitalization followed by the Russell 2000 tumbled 2.8%. The volume was higher on both main exchanges by the same time Wednesday.
Early Thursday, the Labor Department reported that for the first time, unemployed claims fell sharply to 713,000 in the week ending February 20. That was well below the 861,000 claims of the previous week. Economists expected a much smaller decline, to 825,000 claims.
Rising bond yields have upset stock investors. The ten-year treasury yield has risen to its highest level since February 2020, by 7 basis points to 1.45%.
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. Read the big picture for detailed daily market analysis.
Covid-19 update
The Covid-19 pandemic is still gripping the U.S. economy as nationwide blockades reach the year mark. But there are signs of hope as vaccinations begin to flatten in some states.
US stock market overview today |
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|---|---|---|---|---|
| Index | Symbol | Price | Profit / loss | % Change |
| Dow jones | (0DJIA) | 31559.68 | -402.18 | -1.26 |
| S&P 500 | (0S & P5) | 3852.47 | -72.96 | -1.86 |
| Nasdaq | (0NDQC) | 13215.09 | -382.88 | -2.82 |
| Russell 2000 | (IWM) | 220.49 | -6.51 | -2.87 |
| IBD 50 | (FFTY) | 45.18 | -1.75 | -3.73 |
Last updated: 12:54 ET 25.2.2021 |
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According to Worldometer, the cumulative Covid-19 cases worldwide have drawn more than 113 million with more than 2.5 million deaths. In the US, cases are now approaching 29 million with almost 519 000 deaths, although the number of new cases in the US has decreased dramatically in recent weeks.
As countries apply vaccinations quickly, Modern (MRNA) jumped almost 5% in twice normal trading. But that cut early afternoon trading by half. Modern share gained support earlier this week on its 50-day moving average after a failed outbreak.
On Wednesday, biotechnology reported a wider loss than expected Q4 loss. But sales have more than doubled Wall Street targets due to the fast-growing vaccine production plans. Moderna’s Covid-19 vaccine is one of two authorized in the US for emergency use. Analysts expect Moderna to make its first annual profit this year.
Moderna also said late Wednesday that he had manufactured a coronavirus vaccine to test for a mutation from South Africa. The new vaccine has already been sent to the National Institutes of Health for clinical trials.
Dow losers and winners
Boeing (BA) has declined in rapid turnover by more than 4% as it still forms the right side of a hill base. The potential buy point is 244.18, according to the MarketSmith chart analysis. On Wednesday, the Boeing share rose 8%.
The Federal Aviation Administration instructs engine inspections before Boeing 777 jets can fly a certain Pratt & Whitney engine again. The mandate comes after a Hawaii plane failed shortly after taking off from Denver.
Among other things, Dow stocks, major technology techniques appeal (AAPL), Intel (INTC) and Salesforce.com (CRM) each gave up more than 2%. Apple recently activated the 7% -8% loss selling rule from a 138.89 buy-in-a-handle cup base.
Nike (NKE) and 3M (MMM) increased by less than 1% per share. Nike forms a nine-week flat base with a buying point of 148.05. This is about 8% of the subscription. HSBC upgraded the athletic shoe giant to buy out of possession and raised its price target to 158 from 125.
Outside The Dow
Travel bookers, car manufacturers and chips have led the disadvantage among IBD’s 197 industry groups. Consumer electronics retailers, department stores and internet retailers have downed the decline.
Electric car manufacturer Li Auto (LI) rose 11% in heavy trade, despite having an income and a better income in the fourth quarter. The results include a surprising gain and a 356% year-on-year increase in car deliveries in January.
Tesla (TSLA) fell 7% as it continued to trade below its 50-day moving average, which it crossed for the first time since November this week. Shares are 21% lower than their high, but remain well expanded from a 466 buy point. It might still be wise to make a profit, as Tesla has caused two sales signals. Tesla is an IBD Leaderboard share.
In the retail consumer electronics group, GameStop (GME) increased by 65% in massive volume as Reddit / WallStreetBets returned in the short-press game. On Wednesday, shares rose 104%. AMC Entertainment (AMC) jumped 10%, on course to extend its finish line to five. Shares rose 18% on Tuesday and Wednesday.
Bitcoin rose above $ 51,000 again on Wednesday afternoon, according to Coindesk, and traded up 3% at $ 51,177. The Grayscale Bitcoin Trust (GBTC) reversed to a loss of 2.5% and was below the 48.75 buying point of a flawed, V-shaped cup pattern.
Follow Nancy Gondo on Twitter @IBD_NGondo
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