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The Dow Jones Industrial Average and other major stock indexes were mixed Monday, with a crucial earnings report Nvidia (NVDA) and critical inflation data will be released in the coming days. An early profit loser on the stock market today was the Chinese retailer PDD (PDD), causing profits to decline.
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After the opening bell, the Dow Jones Industrial Average rose 0.5%, while the S&P 500 rose 0.1%. The tech-focused Nasdaq composite lost 0.2% in early trading.
Early Monday, the yield on ten-year government bonds fell to 3.78%. Oil prices continued to recover, with West Texas Intermediate futures near $77.25 per barrel.
Among exchange-traded funds, Invesco QQQ Trust (QQQ) fell 0.2%, while the SPDR S&P 500 ETF (SPY) rose 0.1% after the opening.
A major focus this week is Nvidia’s earnings report, which is expected to be released late Wednesday. Wall Street expects the artificial intelligence giant to earn 65 cents per share on revenue of $28.7 billion, according to FactSet.
Nvidia shares fell 0.5% on Monday. The shares form a cup base with an official buy point at 140.76. An early entry is looming at 136.15, the share’s high on July 11.
Step aside, Tesla. This stock wants your Mag 7 card.
Fair today
This week’s economic highlight comes Friday, when the Commerce Department releases the Federal Reserve’s primary inflation gauge for July as part of Friday’s personal income and expenditure report. The core price index for personal consumption expenditures (PCE) is expected to rise between 0.1% and 0.2%. That should push three-month core annualized inflation down to 2% or lower for the first time since December.
An earnings booster Monday morning was PDD, which tumbled more than 26% after missing sales estimates. The China-based parent company of Temu and Pinduoduo also warned that future sales growth “will inevitably come under pressure” from competition and other factors.
Other earnings reports this week include Lululemon Athletica (LULU), Ultimate beauty (ULTA), Land’s End (LE) And Burlington Stores (BUL), together with fellow retailers Abercrombie & Fitch (ANF), Northstream (JWN), Hole (GPS) And Foot Locker (FL).
Tesla toppled when Nvidia tricked Apple and Microsoft
Dow Jones is recovering
On Friday, the Dow Jones Industrial Average rose 1.1%, while the S&P 500 rose 1.2% and the tech-heavy Nasdaq composite climbed 1.5%.
During Friday’s IBD Live showthe IBD Live team discussed current trading conditions and how investors should interact with the stock market today.
This is an important time to read The Big Picture column amid the ongoing market action. Also learn how to adapt to changing market conditions, with IBD’s new exposure levels.
Nvidia ties Microsoft while both Mag 7 stocks target Apple
Stock market today: the best stocks to watch
Some of the best companies to watch in the stock market today include Birkenstock (BIRK), Metaplatforms (META), Netflix (NFLX) And Shake Shack (SHAKE).
Also on the list are Dow Jones components Amazon (AMZN), Apple (AAPL), Home Depot (HD), IBM (IBM) And Microsoft (MSFT).
Birkenstock and Netflix are featured in this column, Stocks Near a Buy Zone.
Four new shares were created IBD market wave‘s Breaking Out Today list Friday. Remarkably, AAON (AAON) topped a buy point of 94.67 cup-with-handle. Shares rose 0.5% Monday morning.
Furthermore, there are a handful of stock ideas on the site List ‘Near pivot point’. These are top stocks approaching new buy points, such as TransDigm (TDG). TransDigm stock is nearing a record high of 1,369.58 on the cup base as it was unchanged Monday morning.
For more stock ideas, check out IBD stock lists such as IBD50, Large hood 20 and stocks near a buy zone.
Get real-time buy and sell alerts on stock market leaders with the IBD Leaderboards
Dow Jones: Home Depot, IBM
Among Dow Jones components, Home Depot is just below a buy point of 375.74, according to a deal MarketSurge Pattern Recognition. Shares rose 0.5% Monday morning.
Meanwhile, IBM is trying to move past its last entry, a cup-with-handle buy point at 196.26. IBM shares rose 0.4% on Monday.
Outside the Dow Jones index, Birkenstock is at a flat-base buy point of 61.83 after last week’s breakout. Shares gained 0.6% early Monday.
Streaming giant Netflix is below the buy point of 697.49 in the late stages of the cup. Netflix shares fell slightly on Monday.
And Shake Shack’s recent break past a cup-and-handle entry at 105.68 is back on track after three days of gains. Shares rose 0.7% early Monday.
Find the best stocks to buy and watch with IBD Stock Screener and IBD Screen of the Day
Stock market today: companies to watch
These are four stocks in or near buy zones in today’s stock market.
| Company name | Symbol | Correct purchase point | Purchase point type |
|---|---|---|---|
| Ferrari | (RACE) | 442.80 | Flat base |
| Shake Shack | (SHAKE) | 111.29 | Cup base |
| ServiceNow | (NOW) | 806.52 | Handle entry |
| Birkenstock | (BIRK) | 61.83 | Flat base |
Source: IBD data as of August 26
Join IBD experts as they analyze the top stocks in the stock market today on IBD Live
Beautiful seven stocks: Meta, Tesla
Among Magnificent Seven shares, Meta Platforms and Tesla lost 1.3% and 1.4%, respectively, in morning trading.
Meta shares tried to break out above a 542.81 buy point last week, but are just below the entry. In the early action, Meta fell further below that buy point.
Shares of Tesla rebounded 4.6% on Friday, as the electric car giant’s shares closed back above their 50-day moving average.
Dow Jones Leaders: Amazon, Apple, Microsoft
Among the Dow Jones components in the Magnificent Seven, Amazon, Apple and Microsoft traded narrowly lower after Monday’s stock market open.
Amazon shares decisively reclaimed their long-term 200-day mark on August 15. The stock fell 0.2% Monday morning.
Apple shares are building to the right of a new base after recapturing their 50-day line in recent weeks. Apple fell lower on Monday.
Microsoft shares remain below their 50-day line as a new base takes shape. And on Monday morning, the stock fell 0.3%.
Make sure you follow Scott Lehtonen on X at @IBD_SLehtonen to learn more about growth stocks, the Dow Jones Industrial Average, and the current stock market.
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