Dow Jones up 900 points on cool inflation data; Treasury rate of return

The Dow Jones industrial average rose 900 points on Thursday after the closely watched consumer price inflation index, or CPI, came in cooler than expected. The 10-year Treasury yield fell to 3.87% on Thursday after the consumer price index was cooler than expected.

Meanwhile, EV stocks Nine (NIO) oath Rivian cars (RIVN) raced higher after their quarterly results.


The Consumer Price Index of the National Institute of Labor and Welfare showed that prices rose by 0.4% in October, colder than estimates of a 0.7% increase. the previous month. Consumer inflation increased by 7.7% year-on-year, which is lower than the predicted 8.0% increase.

Meanwhile, initial jobless claims showed initial claims rose to 225,000. 217,000 in the previous week.

The main profit movements were on Thursday AstraZeneca (AZN), Dutch Bros (SMILES), Nio, Ralph Lauren (RL), Rivian Automotive and Unity software (U).

AstraZeneca shares were up 6%, while BROS shares were up 10% in morning trade. NIO shares rose 11%. Shares of Ralph Lauren rose 4%, while Rivian shares rose 17%. Unity shares rose more than 16%.

Electric car store Tesla ( TSLA ) rose 5% Thursday morning. Dow Jones Technical Leaders Apple (AAPL) oath Microsoft ( MSFT ) rose sharply after the stock market opened today.

Among the top stocks to buy and watch, Albemarle (ALB), an IBD Leaderboard watchlist stock Arista Networks (ANET), CF Industries (CF) oath GlobalFoundries (GFS) – as well as Dow Jones names Merck (MRK) oath UnitedHealth Group (UNH) – are among the top stocks to buy and watch.

Arista Networks is an IBD Leaderboard Watchlist stock. Albemarle was featured in this week’s Stocks Near A Buy Zone column, along with three other top stock ideas. GlobalFoundries was the recent IBD stock of the day.

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Dow Jones today: Oil prices

After Thursday’s opening bell, the Dow Jones industrial average rose 2.5%, while the S&P 500 gained 3.9%. The tech-heavy Nasdaq composite rose 5.4% in morning action.

Among exchange-traded funds, Nasdaq 100 tracker Invesco QQQ Trust ( QQQ ) was up 5.3% early Thursday, and the SPDR S&P 500 ETF ( SPY ) was up 3.9%.

Meanwhile, US oil prices rose more than 1%, with West Texas Intermediate futures rising above $87 a barrel and looking to end a three-day losing streak. Last week, WTI futures hit their highest point since mid-October, but have since retreated.

Struggle in the stock market

On Wednesday, the Dow Jones Industrial Average sold off 1.95%, while the S&P 500 fell 2.1%. The tech-heavy Nasdaq composite fell 2.5%.

The Big Picture on Wednesday said: “Nasdaq volumes were down. But as the accompanying Market Pulse chart indicates, many leading stocks experienced heavy institutional selling. That’s not what you normally see in a healthy stock market. More turnover on the NYSE marked S&P 500 with third distribution day since Oct. 21 follow-up date.”

Now is an important time to read IBD’s Big Picture column. After the recent selloff, investors should focus more on playing defense than buying breakouts.

Five Dow Jones Stocks to Buy and Watch Right Now

Dow Jones stocks to buy and watch: Merck, UnitedHealth

Dow Jones member and IBD 50 stock Merck remains out of buy range above the 93.12 double-bottom buy point, according to IBD MarketSmith pattern analysis. Merck shares rose 0.8% on Thursday.

Healthcare giant UnitedHealth is trying to repeat the trophy with the handle’s 553.23 buy point. Shares fell 2.2% on Wednesday and ended 2% below their last trade. UNH shares were up 1.4% Thursday morning.

4 Top Growth Stocks to Watch in Currentrbut Stock Market Rally

Top stocks to buy and watch: Albemarle, Arista, CF, GlobalFoundries

Lithium producer Albemarle is trying to break past the 308.34 buy point of a cup base. Shares fell 1.9% on Wednesday, giving up some of Tuesday’s gains and falling further below a recent buy point. ALB shares were up 3% early Thursday.

IBD Leaderboard’s Arista Networks stock is just below 132.97 buy points after three days of losses. ANET shares rose 4.7% on Thursday morning.

CF Industries is holding above its 50-day line despite Wednesday’s 3.7% decline. Shares are building a cup base that has a 119.70 buy point, according to IBD MarketSmith pattern analysis. CF shares rose more than 1% on Thursday.

Tuesday’s IBD stock of the day, GlobalFoundries is trading up 8% from a 66.06 buy point in a cup base after the week’s rally. Stocks may also be rallying after the recent rally. GFS shares rose 2% on Thursday.

Join IBD experts as they analyze the leading stocks in the current stock market on IBD Live

Tesla stock

Tesla shares fell another 7.2% on Wednesday, extending their losing streak to four sessions. Shares hit another new 52-week low and hit their lowest level since November 2020. The stock is more than 55% off its 52-week high and well below its 50- and 200-day moving averages.

Shares of the electric car giant rose 5% on Thursday morning.

Dow Jones Leaders: Apple, Microsoft

Among the Dow Jones stocks, Apple shares traded down 3.3% on Wednesday, snapping a two-day winning streak and returning to recent lows. The stock rose 5.1% on Thursday.

Microsoft fell 1.9% on Wednesday, ending a three-day winning streak. The software giant remains about 35% off its 52-week high. Microsoft shares rose 4.9% Thursday morning.

Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.


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