Dow Jones Pares Gains Amid ‘Goldilocks’ Set Up; Moderna Soars On Cancer Vaccine| Investor’s Business Daily

The Dow Jones Industrial Average was off session lows but still gave up much of its early gains in late trading Thursday, ahead of options expiration on Friday.


Stocks rose in the early going after initial jobless claims for the week ended Dec. 9 fell from the prior week to 202,000. That was also lower than a consensus estimate of 223,000, according to Econoday. Elsewhere, retail sales showed a 0.3% increase in November though it was seen falling by 0.1%. The “just right” Goldilocks mix boosted indexes that were already buoyed by a dovish Fed stance Wednesday.

The Dow was 0.3% higher in late afternoon trades while the S&P 500 traded 0.2% higher after being up as much as 0.7% in the stock market today. The Nasdaq ran into negative territory in the afternoon and was up 0.1%.

Volume on the NYSE and on the Nasdaq was higher compared with the same time on Wednesday. Advancers beat decliners by more than a 3-1 ratio on the NYSE and 2-1 on the Nasdaq.

The small-cap Russell 2000 was having a field day with a 2% gain.

The Innovator IBD 50 ETF (FFTY) underperformed and was flat.

The yield on the benchmark 10-year Treasury note dived 9 basis points to 3.93%.

U.S. crude oil soared nearly 3% amid prospects of rate cuts to $71.45 a barrel.

Dow Jones Stocks

Intel (INTC) soared but gave up some gains after the company launched new AI chips for data centers. Goldman Sachs (GS) and Caterpillar (CAT) led gains in the Dow, each up more than 6%, while UnitedHealth (UNH) and Microsoft (MSFT) lagged with losses of more than 2%.

Outside the Dow, Jabil (JBL) gapped up and retook its 50-day moving average after announcing earnings.  Sales declined to $8.4 billion but earnings grew 13% to $2.60 per share. Jabil joins the S&P 500 index on Monday. Shares broke out of a double bottom base with 1334.93 buy point. The stock was up more than 13% in afternoon trading.

Adobe (ADBE) fell on a weak outlook. The AI play is testing support at the 50-day moving average.

Lennar (LEN) rose nearly 7% with earnings due after the market close. Shares are extended from a breakout at 131.27. The stock is one of many in the housing sector rallying as Treasury yields tumble.

Costco (COST) fell but is also extended headed into earnings after the market close.

Among the Magnificent Seven, Meta (META) fell but remained in a buy zone. The social media giant launched Threads in Europe on Thursday. (AMZN) also tested the buy zone. Both META and AMZN are on IBD Leaderboard. Also on Leaderboard, Arm (ARM) rallied past a buy zone from an IPO base.

Also outside the Dow Jones, Moderna (MRNA) soared and cleared the 50-day moving average after positive data from a combined treatment for melanoma using its cancer vaccine and Merck‘s (MRK) Keytruda.

IBD 50 stock Super Micro Computer (SMCI) has retaken the 50-day moving average and is approaching an alternate buy point of 306.52. Atlassian (TEAM) broke out of a cup base with a buy point of 215.77.

Also in software, (MNDY) broke out at 189.15 from a cup base. A handle entry at 185.81 is also viable. In building products, Builder FirstSource (BLDR) and Terex (TREX) broke out as well.

Please follow VRamakrishnan on X/Twitter for more news on the stock market today.


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