The stock market indexes made a solid effort to rebound Thursday and held onto much of their gains through early afternoon trading. Earnings reports and economic data propelled those gains.
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The Nasdaq led the bounce with a 1.2% gain as the tech sector led the market. The S&P 500 rose 0.8% while the Dow Jones Industrial Average climbed 0.7%. All three indexes rose more than 1% earlier today.
The Russell 2000 rose 1.2%. Volume rose on the NYSE and Nasdaq compared with the same time on Wednesday.
Apple (AAPL) rose back above its 50-day moving average after dipping below it Wednesday. Chipmaker ASML (ASML) rose 3.6% after reporting earnings that topped analyst forecasts.
First-time claims for jobless benefits rose sharply last week to 286,000 from a revised 231,000 the previous week. Economists polled by Econoday had forecast 207,000.
Nasdaq Holds Gains, Attempts Rebound
Innovator IBD 50 ETF (FFTY) rose more than 1%. A couple of new companies in the index are in buy zones.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 35303.16 | +274.51 | +0.78 |
| S&P 500 | (0S&P5) | 4573.89 | +41.13 | +0.91 |
| Nasdaq | (0NDQC ) | 14523.88 | +183.62 | +1.28 |
| Russell 2000 | (IWM) | 207.05 | +2.60 | +1.27 |
| IBD 50 | (FFTY) | 40.00 | +0.54 | +1.37 |
Last Update: 1:24 PM ET 1/20/2022 |
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Berry Global (BERY), a product packaging company, is in buy range from a 70.63 buy point and acting well amid a weak market. Drugmaker Bristol Myers Squibb (BMY) is in a buy zone from a 62.77 entry in a cup with handle.
FMC (FMC), another IBD 50 stock, entered a buy zone a week ago after completing a cup-with-handle formation and is still hovering near the 112.41 buy point. Its gain faded to 0.1% in early afternoon trading.
In the first look at the leading oil and gas industry, Baker Hughes (BKR) climbed about 6% after a mixed Q4 report early today. The stock climbed above the 27.76 buy point of a cup base. The drilling machinery company earned an adjusted 25 cents a share vs. a year-ago loss of 7 cents a share. Views were for a profit of 28 cents. Sales of $5.5 billion were in line with estimates.
After Wednesday’s decline, the Nasdaq found itself more than 10% below its prior high. That’s the commonly accepted definition of a market correction, and it agrees with IBD’s change to the market outlook earlier this week.
Investors should be raising cash and avoiding new stock buys. Following sell rules is critically important now. A number of top-rated stocks have already fallen more than 7% below buy points, broken below the 10-week moving average or erased gains of more than 10% from buy points.
Stock Market Watches Airline, Alcoa Earnings
Still, the market was struggling to make a comeback.
Defense stocks gained Thursday, with Northrop Grumman (NOC) nearing a buy point of 406.94 from a cup-with-handle pattern. Heico (HEI) is solidly in buy range from a buy point of 146.13 from a double bottom pattern.
CNX Resources (CNX), a shale company with…
Read More: Stock Market Holds Some Gains, Attempts Rebound; Earnings And