On Tuesday night, Dow Jones futures, S&P 500 and Nasdaq futures rose slightly. As US Treasury yields rose, US Treasury Secretary Janet Yellen warned that the government would default next month, and the stock market rebounded sharply. Micron’s earnings became the focus overnight.
X
The volume of the S&P 500 and Nasdaq Composite Index fell below the 50-day moving average, indicating that the nature of the stock market rebound has changed.
The top stocks look worse, and the Innovator IBD 50 ETF (Fifty) is expected to record the worst weekly loss since the coronavirus crash.
Tech giants and growth leaders are plummeting
Tech giants like Microsoft (MSFT), Google’s parent company Alphabet (Google), Apple (Apple) Facebook social networking site (FB) and Amazon withdrew from recent lows or set recent closing lows, as it did Nvidia (NVDA), Asmer (ASML), Applied Materials (A partner Serve immediately (Currently)
Cloud flare (Of course), it fell from 7.9% on Tuesday to the 50-day line on Monday, decisively breaking through the 50-day line. NET shares have fallen 17% in the past four trading days because the software name is under heavy pressure. Medical product inventories — from biotech companies to test companies and system manufacturers — continue to struggle.Even though model Ignoring the recent market weakness (INMD) fell 13%.
Energy stocks performed well. Although crude oil fell from a multi-year high to a small decline, it still maintained its recent gains. Public finances also performed well, supported by rising government bond yields.
ASML, Microsoft, Google, ServiceNow and Nvidia are all available IBD leaderboards. Microsoft, ServiceNow, ASML, and Google Stock are all long-term leaders of IBD, and many others have also experienced rigorous meetings.
The video included in this article focuses on Microsoft, ASML, and .NET stocks.
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Janet Yellen’s American Standards Bulletin
Secretary of the Treasury Yellen told the Senate Banking Committee that the United States may default without raising the debt limit before October 18, and gave a specific date for the first time. At the same time, the government faces a partial shutdown after September 30 without new funding. Late Monday, Senate Republicans avoided raising the debt limit and increasing short-term financing, saying they wanted the Democrats to raise the debt limit themselves.
This all happened when House Speaker Nancy Pelosi planned to vote on a bipartisan infrastructure project on Thursday. It is not clear whether the minority Republican supporters will make up for the defections of the left-wing Democrats. They hope that infrastructure projects will be linked to large-scale tax and spending settlement plans that have not yet been launched.
At the same time, Fed Chairman Jerome Powell testified at the same Senate banking hearing held with Treasury Secretary Yellen that inflation will still be higher than previously expected.
The Fed and the European Central Bank are gradually reducing asset purchases, although it is possible to raise real interest rates at least one year later.
All these will help increase the revenue of the Ministry of Finance. The 10-year U.S. Treasury bond yield rose by 5 basis points to 1.53%. On that day, the 10-year Treasury bond yield was close to 1.57%, the highest level since June.
Micron profit
Micron technology (mo) A better-than-expected earnings were announced on Tuesday night. But the drawing of the memory chip giants is not so sharp.
Micron shares plunged 4% overnight. The stock price fell 2.8% to 73.10 on Tuesday, below the 50-day line. MU stock price has been in a downward trend since mid-April.
Micron’s view is generally not a good sign for semi-finished products or rising markets, but it is particularly important for manufacturers of memory chip devices that are exposed to applied materials and applied materials. l Search (LRCX) The shares of AMAT and Lam Research fell during the extended trading period. AMAT shares fell 6.9% on Tuesday, falling below the 50-day line again. LRCX inventory fell 5% and closed below 50 days and 200 antennas.
Today’s Dow Jones Futures Contract
The relative fair value of Dow futures rose 0.2%. Standard & Poor’s 500 index futures rose 0.2%. Nasdaq 100 futures rose 0.1%.
After the American Petroleum Institute reported a sudden surge in US inventories last week, crude oil prices, which fell slightly on Tuesday, fell overnight. The US Energy Information Administration will release official oil and gasoline supply and production data on Wednesday morning.
Remember to work overnight in the Dow Jones futures contract and other places, these places will not necessarily translate into actual liquidity during the next regular stock market session.
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The stock market rebounded on Tuesday
The stock market rebounded weakened and closed lower amid widespread selling.
The Dow Jones Industrial Average fell 1.6% in stock market trading on Tuesday. The Standard & Poor’s 500 Index fell 2%. The Nasdaq Composite Index fell 2.8%, the biggest drop since March. Russell 2000 small-cap stocks fell 2.25%.
Apple’s share price fell 2.4%, not lower than last week’s low, but set its worst closing price since July 2. That was when the AAPL stock came out from the bottom of the cup.
Microsoft shares fell 3.6% and Google shares fell 3.7%, both falling below the 50-day high and last week’s low.
FB’s stock price ended its 50-day continuous decline on September 20 and continued to fall. On Tuesday, it fell 3.7%, which was lower than last week’s low.
AMZN stock is still struggling to rebound from its disappointing second-quarter earnings report, falling 2.6% and returning to its 200-day consecutive rise.
NVDA’s stock price dropped 4.4% from the 50-day continuous rise and last week’s low.
As a semiconductor star in 2021, ASML shares fell 6.6%. This marks the first 50-day decisive reduction in production since March.
The stock is now down 5.7%, closing below the 50-day line for the first time since early June.
ETF
Among the best ETFs, the Innovator IBD 50 ETF (Fifty) fell 5.4%, while the IBD Breakout Opportunities ETF (Innovation Adjustment) fell 3.9%.
The iShares Expanded Technology and Software Fund (ETF) IGV fell 3.6%, falling below the 50-day line to its worst level since the August 19 rebound. MSFT inventory and ServiceNow are key components of IGV; equity is also property. VanEck Vectors Semiconductor Corporation (SMH) fell 4%. ASML, AMAT and LRCX are important parts of NVIDIA’s chip inventory and gear manufacturers.
Industry ETFs fell overall, but the decline was relatively small.
SPDR S&P Metals & Mining ETF (XME(Reduction 0.5%, Global Infrastructure Development ETF X US)cradle) fell 1.5%. The US Global Gates Foundation (ETF) Aircraft fell 1.3%. SPDR S&P Homebuilders ETF (XHB) 2.5% exemption. SPDR Specific Energy Fund (SPDR ETF) XLE) rose 0.3%. SPDR Financial Choice Fund (SPDR) XLF) fell 1.65%.
The stocks reflect more speculative stories. ARK Innovation ETF (you see) fell 3.8%, and ARK Genomics ETF (ARKG) fell 4.2%. ARKK was at its lowest level since early June, while ARKG closed at its lowest level in May.
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Market growth analysis
The stock market’s rally last weekend looked active, but it is now showing real damage to major indexes and blue chip stocks. The S&P 500 Index has been supporting at the 50-day line for several months, and now it seems to find resistance at a key level. The Nasdaq Index did not hit last week’s low—the Big Capital Nasdaq 100 Index did—but it closed close to the intraday low, the worst closing price since August 19.
Despite the energy and financial components, the small-cap Dow Jones and Russell 2000 indexes are still falling sharply. The Dow Jones Index is moving away from the 50-day line, and the Russell 2000 Index has closed a small part of this key level.
FFTY did not break below the 50-day line, but it has fallen by 7.6% so far this week. That’s right, it’s only Tuesday, and FFTY is experiencing its worst weekly loss since the coronavirus crash in March 2020. From iconic figures to powerful institutions, more and more names are emerging. Even those who once sought primary support-actions from NET, ASML, Microsoft, and Google-do not do so anymore.
Energy, fertilizer, finance and travel stocks performed relatively well. We may be in an industry rotation of growth stocks, although there is a big difference between rotating in an overall upward trend and rotating in a bear market. In addition, even in the short term, it is not surprising that energy prices and Treasury yields have fallen.
When to sell your favorite stock
What are you doing
If you have tradable stocks—especially in healthcare industries such as energy and banking—you may not need to do anything. But as the stock grows and your portfolio grows in general, you need to take defensive measures. The recent breakout or retracement of the 50-day line has failed. The big winner reduces the bonus. It’s time to reduce your exposure and wait for a healthy market to rebound.
The stock market rebound is expected to rebound soon, with major indexes rising above the 50-day line. However, in this case, investors may back off.
Currently, focus on defense. But you must always be prepared to face the impact. Rebuild your watch list again.
I read The Big Picture every day to keep up with market trends, stocks and leading industries.
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