The Nasdaq Composite stock price began to rise in Thursday morning trading as investors digested the increasing number of earnings news and gained some ground.On the other hand, chip giants Nvidia (NVDA) tested the bull market today by breaking below its 50-day moving average.and taiwan semiconductor Fellow chipmaker (TSM) issued a defensive sell signal.
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Nearly an hour into the session, the Nasdaq Composite Index was down less than 0.2%, but later erased those losses to post a 0.5% gain. The Nasdaq index fell more than 3% for the week, its worst performance since the tech-heavy index fell more than 3.2% in the first week of January.
The S&P 500 initially hovered around breakeven, but has since risen 0.6%. It entered Thursday trading up 5.3% year-to-date. The Russell 2000 rose 0.9% and the Dow Jones Industrial Average rose 0.8%.
Meanwhile, the benchmark 10-year Treasury yield rose 5 basis points to 4.63%.
Stock market investors are paying close attention to the outlook of companies reporting quarterly results. Focus on revenue from Netflix (NFLX) and intuitive surgery (ISRG) After the close of the regular session.
Despite the Philadelphia Fed's manufacturing index showing a stronger-than-expected rise of 15.5 in April, the gains in both indexes were small. Econoday's forecast had predicted zero. Weekly jobless claims rose slightly to 212,000, but still lower than the 215,000 expected.
Nvidia makes profits, Taiwan halves
Nvidia, a leader in data center chipsets for accelerated computing and artificial intelligence, briefly fell on the stock market today before rebounding to rise 1.5%, confounding traders.
Readers can access the leaderboard for a complete analysis of the chart action of Nasdaq's mega-cap stocks. The firm maintains a three-quarters position in its model portfolio of winning growth stocks.
Taiwanese semis fell more than 4% due to rapid sales. The stock price fell well below its 50-day moving average, spurring a profit-taking signal. The semiconductor giant also fell below its 10-week line for the first time in more than five months.
The company reported a 9% increase in earnings, equivalent to $1.38 per share. This eliminated a three-quarters drop in revenue. But investors were clearly focused on the company's revised 2024 revenue outlook.
Management also said margins would decline by 50 basis points, according to MarketWatch. Taiwan Semi said Taiwan's earthquake did not cause major structural damage to its facilities, but rendered a batch of its chips useless.
The big picture: The name of this chip device shakes up the stock market
Today's stock market: Watch your finances
Bank stocks helped the market's cause in Thursday's move.
coamerica Super regional bank CMA surged nearly 4% despite missing Wall Street's revenue expectations, to $784 million versus expected $806 million. However, Comerica's adjusted earnings were $1.29 per share, beating consensus estimates by 17 cents.
This news has helped to encourage our peers, including: JP Morgan Chase (JPM), Dow Jones Stocks, wells fargo (WFC) and american bank (BAC). Wells Fargo is near a potential breakout at 58.44. Bank of America is trying to regain its rising 50-day moving average, which is a bullish sign.
In other aspects of the stock market business cycle, DR Horton (DHI) rose more than 3% on heavy volume on the stock market today, attempting to regain its 50-day line. The leading U.S. homebuilder reported March quarter profit of $3.52 per share, up 29% from a year earlier. Wall Street reported earnings per share of $3.07.
Horton's revenue rose 14% to $9.11 billion, beating the FactSet consensus estimate of $8.15 billion. Horton stock recently triggered a stop-loss selling rule when it fell 7% below its breakout point of 157.93 on a shallow nine-week cup-style basis.
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