May 26, 2024

Stocks worsened in afternoon trading on the stock market today with the major indexes running near lows and falling below key moving averages. Among the losers were several big banks that kicked off earnings season with JPMorgan Chase (JPM), Wells Fargo (WFC) and Citigroup (C) all reporting first-quarter results on Friday.


The Dow Jones Industrial Average pulled back nearly 1.3%, or nearly 500 points, tumbling further below its 50-day moving average. The S&P 500 lost 1.5% and was hugging its 50-day line.

The Nasdaq plummeted 1.7% after closing at a record high on Thursday. That tech-heavy index slipped below its 21-day exponential moving average.

The small-cap Russell 2000 slid 1.9%. Volume rose on the New York Stock Exchange and fell on the Nasdaq vs. the same time Thursday.

In Friday’s action among exchange traded funds, the Invesco QQQ Trust (QQQ) sank 1.9%. The Innovator IBD 50 ETF (FFTY) fared worse than the major indexes and tumbled nearly 2.7%.

West Texas intermediate crude oil rose to $85.91 a barrel. The benchmark 10-year yield dipped to 4.5%.

Stock Market Today: Bank Stocks Show Mixed Results

Dow stock JPMorgan Chase sold off nearly 6% in heavy volume and sank below its 50-day moving average. The financial leader beat expectations on its first-quarter adjusted earnings and net revenue, but the stock plunged anyway.

JPMorgan Chase is on track for its largest percentage decrease since March 15, 2023, when it fell 4.72%, according to Dow Jones Market Data. JPMorgan stock was the worst performer among Dow Jones blue chips on the stock market today.

Wells Fargo gave back early gains and fell 0.5% after the bank topped first-quarter adjusted earnings and revenue. But net interest income dropped more than projected.

Citigroup reversed and sank more than 2% in heavy volume, even after it beat sales and profit estimates. The bank also gave a full-year 2024 revenue outlook between $80 billion and $81 billion, topping analyst views.

Stock Action: Korean Stock Soars

Outside of bank news, South Korean e-commerce giant Coupang (CPNG) soared more than 11%, breaking out of a cup-with-handle base in huge volume. The company announced it will raise its membership fees 58%. Shares gapped up to a 52-week high on the stock market today.

Arista Networks (ANET) cratered more than 9% in heavy volume, plunging below its 50-day line and triggering a sell signal. The giant move came after Rosenblatt Securities cut its rating on Arista to sell from buy.

Zoetis (ZTS) gapped down more than 8% after a Wall Street Journal report suggested the company’s arthritis shots could have sickened pet dogs and cats.

Dow stock Intel (INTC) and its chip rival Advanced Micro Devices (AMD) sank on news that China is looking to eliminate American chips from its telecom networks, according to the Wall Street Journal. Intel toppled more than 4%, falling further below its 200-day moving average, while AMD shares also sank more than 4% on the stock market today.

Finally, Magnificent Seven and Leaderboard stock Nvidia (NVDA) gave back more than 2% of Thursday’s 4.1% pop. But shares found support at their 21-day line.

Follow Kimberley Koenig for more stock market news on X/Twitter @IBD_KKoenig.


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