The Dow Jones industrial average rose again in the green after initially being forced lower amid weak data on jobless claims. Meanwhile, the Nasdaq led, even after Federal Reserve Chairman Jerome Powell warned that Covid-19 mutations could reverse the economic recovery. Today also in the stock market appeal (AAPL) has succeeded in enforcing above an important criterion, while Microsoft (MSFT) was another blue chip that performed best.
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IBD 50 stock Etsy (ETSY) achieved the best performance on the S&P 500. Shares of GameStop have fallen, despite the announcement that it intends to make Tough (CHWY) co-founder Ryan Cohen, chairman of its board. Software stock PTC (PTC) passed a proper buying point.
Powell Issues Covid Warning; Unemployed demands rise
Federal Reserve Chairman Jerome Powell said it was crucial that Covid-19 vaccines be issued worldwide during a World Monetary Fund virtual debate on the world economy. He said global vaccination rates were being monitored “very closely” as it could jeopardize the recovery of the US economy.
“Until the world is really vaccinated, we are all at risk of new mutations and we will not really be able to start with confidence again with confidence around the world,” he said.
Powell, chairman of the Fed, said it was important for people to be vaccinated and still distance themselves socially, because even if it did not cause as many deaths, it could still delay recovery.
He also reiterated the US Federal Reserve’s stance on its asset buying program. He said they were going to look at inflation and ‘the indicators of maximum employment’.
‘What we have said about our asset purchases is that it will continue at the current pace until we see significant further progress towards our goals. This will mean real progress. We do not look at predictions for this purpose. look at real progress towards our goals.
The minutes of the Fed’s meeting on March 17 indicated that it would take a while before they would begin removing aggressive monetary measures to support the economy, and that they would communicate in advance.
Meanwhile, the number of first applications for unemployment assistance in the week ended April 3 rose to 744,000, the Labor Department reported. This was higher than the final score of 728 000 of the previous week. This disappointed expectations for a second consecutive decline to 680,000 claims.
Nasdaq, S&P 500 Rally
The technology-heavy Nasdaq was the index that performed best and made a profit of almost 1%. Octa (OKTA) performed best, rising by almost 7%.
US stock market overview today |
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|---|---|---|---|---|
| Index | Symbol | Price | Profit / loss | % Change |
| Dow jones | (0DJIA) | 33456.08 | +9.82 | +0.03 |
| S&P 500 | (0S & P5) | 4093,36 | +13.41 | +0.33 |
| Nasdaq | (0NDQC) | 13804.82 | + 115.98 | +0.85 |
| Russell 2000 | (IWM) | 222.10 | +1.41 | +0.64 |
| IBD 50 | (FFTY) | 45.07 | +0.51 | +1.14 |
Last updated: 13:26 ET 4/8/2021 |
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The S&P 500 was also positive, although profits were more marginal. It was about 0.3% higher. Rich technology (ALGN) was one of the top stocks and rose more than 4%.
The S&P sectors were mixed, with more winners than losers. Technology was at the forefront, while energy and communications services were the biggest laggards.
Small capitalists have managed to fight back in a positive area. The Russell 2000 rose by about 0.6%
Growth stocks also managed to beat the bears back. The Innovator IBD 50 ETF (FFTY) rose more than 1% in a seesaw session.
Dow Jones slips as Apple Stock recovers key benchmark
The Dow Jones industrial average lagged behind the other major indices. While it rose from the red, it was still barely positive. It rose by less than 0.1%.
Apple stock has managed to take a positive step, despite the poor performance of the broader index. It was the top performer of Dow Jones after rising 1.6%.
According to MarketSmith, the stock regained the most important moving average of ten weeks. Managing to stay above this benchmark would be a good sign after recent declines.
According to the Japanese Nikkei news service, Apple has taken its positive step despite the company slowing down MacBook and iPad production due to the worldwide shortage of chips.
The old rival Microsoft was one of the best Dow Jones stocks. The software giant rose by more than 1%. Microsoft shares rose higher in its buying zone. It had previously erupted from a flat base. The ideal buying point was 246.23.
Salesforce.com (CRM) also made a solid profit and increased by about 1.4%.
Etsy Stock recovers the most important benchmark
IBD 50 shares impressed Etsy and achieved the best profit on the S&P 500. It was almost 5% higher. The e-commerce stock apparently forms a base, but a clear entry has yet to emerge.
The stock was able to move back above the 50-day moving average. If it can hold above this important technical benchmark, it will be a strong sign.
Etsy’s inventory has been steadily rising since a breakthrough in April 2020. Etsy’s inventory has a strong IBD mix of 92.
GameStop stock slips despite move
GameStop inventory reversed. The company announced Thursday that it plans to elect activist investor Ryan Cohen as chairman of the board at its next annual shareholders’ meeting on June 9.
The Chewy co-founder, who runs RC Ventures, encouraged the company to turn its struggling brick-and-mortar business into an e-commerce business.
According to the MarketSmith market analysis, the GME share fell more than 2%. It is now almost 65% lower than the highest point of 483 at the end of January
GameStop shares jumped after a brief push fueled by Reddit. Hedge funds that hold short positions were forced to take large losses and boasted GME shares in the process.
Software Stock Succeeds Buy
The software stock PTC consolidated a buying point of 147.77. However, it gave up early gains, thinking it was still rising by about 2%, and fell back below this entry.
The computer-aided design software specialist has an IBD composite rating of 93. It boasts a solid mix of earnings and stock market performance.
In addition to CAD modeling solutions, it also offers lifecycle management products and service lifecycle management products. Read more about PTC in this IBD 50 Stocks To Watch showcase.
Follow Michael Larkin on Twitter @IBD_MLarkin for more information on growth stocks and analysis.
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