Dow futures were little changed after hours, along with S&P 500 futures and Nasdaq futures. Cadence Design Systems (CDNS) Title earnings after closing. On Tuesday, the Federal Reserve kicked off its latest policy meeting, with reports from Microsoft, Google, General Electric and General Motors.
The stock market rally enjoyed modest gains on Monday, with Dow Jones extending its winning streak to 11 sessions, the longest in six years.
Tesla (TSLA) bounced back above a key level, shrugging off an analyst downgrade and other reports on a potential Indian plant. Chinese stocks jumped on Tuesday, hoping for fresh stimulus. vape shop (VIP) And Trip.com (TCOM) blinking buy signals, with internet and EV swarming.
The Fed’s two-day meeting begins on Tuesday, with a policy announcement scheduled for Wednesday at 2 p.m. ET. The Fed’s quarter-point rate hike has closed in on markets, but it sees only a modest chance for another move before the end of the year. How forcefully did Fed Chairman Jerome Powell and policymakers make the case for an additional rate hike?
Dow jones futures today
Dow futures contracts changed little versus futures contracts. fair value. S&P 500 and Nasdaq 100 futures were flat.
Remember that overnight action in Dow futures and elsewhere does not necessarily translate into actual trading in the next regular stock market session.
That also has implications for competing chip design software companies, Cadence Design reported Monday evening summary (SNPS). Cadence Design stock and SNPS are both close to overbought.
CDNS stock fell strongly after Cadence Design earnings topped revenue roughly matching. Shares fell 0.65% to 214.27 on Monday, pulling back below 242.65 buy points from short consolidation just above a flat base. SNPS stock is down slightly in late trading. Synopsys stock is running a handle just below Cope’s base of 468.03, according to MarketSmith analysis.
Automotive and mobile chip maker NXP Semiconductor (nxpi) and clinical studies specialist midpiece (MEDP) topped views late Monday after both closed modestly stretched out of overbought territory. NXPI stock rose overnight while MEDP stock fell on weak guidance.
Nucor (nue) have had mixed results. NUE stock is down slightly in late trading, not far from the point of purchase.
F5 (FFIV) reported strong results. FFIV stock jumped overnight, indicating a move over multiple resistance areas to a 10-month high.
On Tuesday, earnings season kicked off into high gear. general motors (GM), General Electric (GE) And RTX (RTX), formerly known as Raytheon Technologies, released the report prior to the opening. General Electric is in a buying range, while General Motors and Nucor are close to potential entries. RTX stock within Consolidation.
Microsoft (MSFT), a parent from Google the alphabet (Google) And visa (Fifth) earnings address late Tuesday. Microsoft is nearing record highs, while Google stock is entering a handle. Visa stock is in a buy range.
Stock market rise
The stock market rally saw a modestly positive session on Monday.
The Dow Jones Industrial Average rose 0.5% in stock market trading Monday, hitting a 15-month high. The S&P 500 advanced 0.4% while the Nasdaq Composite rose 0.2%, just below its 10-day high line. Small cap Russell 2000 rose 0.3%.
The winners beat the losers on the New York Stock Exchange, while the leading stocks fell slightly on the Nasdaq.
Invesco S&P 500 Equal Weight Fund (RSP) rose 0.3%, just below the S&P 500.
First Trust Nasdaq 100 Equal Weighted Mutual Fund (QQEW) fell 0.3% vs. The Nasdaq 100 Index gained 0.2%. This reflects how the giants, especially TSLA stock, boosted the Nasdaq on Monday.
Growth stocks may still be in the middle of a decline, but the market as a whole is not showing a broad decline.
US crude oil prices rose 2.2 percent to $78.74 a barrel, the highest level in three months. Copper futures rose 1%. China’s stimulus hopes boosted industrial commodities.
The 10-year Treasury yield rose nearly 2 basis points, to 3.855%.
The US dollar rose for the fifth consecutive session after falling earlier this month.
Exchange Traded Funds
iShares Expanded Technology and Software ETF (IGV) decreased by 0.3%. MSFT stock is one of IGV’s most important holdings. VanEck Vectors Semiconductor Corporation (SMH) increased by 0.1%. Tempo Design and SNSPS shares are in both IGV and SMH ETFs.
SPDR S&P Metals & Mining ETFs (XME) rose 1.2%, with NUE stock holding the key. US Global Gates Foundation ETF (Planes) fell 1.2%. SPDR S&P Homebuilders ETF (XHB) increased by 0.4%. Energy Defined Fund SPDR ETF (xle(Advance 1.6% and SPDR Fund to choose the healthcare sector)XLV) decreased by 0.2%.
SPDR Industry Selection Fund (XLI) increased by 0.2%.
Top five Chinese stocks to watch now
Tesla stock fell at the open Monday on UBS’s downgrade, but reversed higher to close 3.5% higher at 269.06, retracement of the 21-day streak. The electric car giant is said to be in further talks with India about setting up a factory there. Stocks may be running a handle after tumbling late last week after earnings sparked investor concerns about profit margins.
What are you doing now
The stock market rally continues to rise, although Monday’s growth runs were mixed. A lot of stocks still look like they are extending, or pulling back, often to key support levels. With the earnings flowing in and the Fed meeting beginning, investors may want to be careful about new purchases.
Many stocks are not far from being actionable from a variety of sectors, so run your screens and prepare your watchlists.
Read the big picture every day to stay in sync with market trend, leading stocks and sectors.
Please follow Ed Carson on Twitter at @employee For stock market updates and more.
You may also like:
Why the IBD tool simplifies your search for the best stocks
Catch the next winning stocks with MarketSmith
Do you want to get quick profits and avoid big losses? Try SwingTrader
Best growth stocks to buy and watch
IBD Digital: Unlock IBD blue-chip stock listings, tools and analytics today
It’s time to market with IBD’s ETF Market Strategy
“Explorer. Unapologetic entrepreneur. Alcohol fanatic. Certified writer. Wannabe tv evangelist. Twitter fanatic. Student. Web scholar. Travel buff.”