The Dow Jones Industrial Average surged even as Apple (AAPL) fell despite its iPhone 16 event taking place Monday. Palantir Technologies (PLTR) soared while Tesla (TSLA) led the Magnificent Seven on the stock market today. And famed investor Cathie Wood snapped up a plunging artificial intelligence stock.
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After a hard fall Friday, stocks fought back with gusto. The Dow industrials gained more than 600 points amid strength in blue chips. This equates to a rise of 1.6%.
The Nasdaq composite rose 1.3% but remains well below its key 50-day moving average. Grail (GRAL) and Moderna (MRNA) were among the top performers here. Moderna rose nearly 7% while Grail jumped more than 6%.
The S&P 500 was also strong with a gain of 1.4%, but it’s trading below its 50-day line. Super Micro Computer (SMCI) was shining here thanks to a lift of 8%. The Invesco S&P 500 Equal Weight (RSP) exchange traded fund rose more than 1% amid broad gains.
Monday’s move came after the S&P 500 suffered its worst week in more than a year. The Nasdaq had its worst week since 2022.
Stock Market Today: Consumer Discretionary Stocks Shine
Another plus for the stock market today was the fact that the S&P 500 sectors were all positive. Financials and industrials fared best. Utilities and communication services made the slimmest gains.
Small caps initially struggled to keep up with the major indexes, but performance improved as the session wore on. The Russell 2000 reversed higher as it climbed more than 1%.
Growth stocks fared best of all, though, with the Innovator IBD 50 ETF (FFTY) soaring nearly 3%. The fund is still rooted below its 200-day moving average.
Dow Jones Today: Apple Lags As iPhone 16 Event looms
The outperformance of the Dow Jones Industrial Average was striking, with nearly all components in positive territory. It benefited from Boeing (BA), the strongest member of the index, as it rallied nearly 4%.
The firm reached a labor deal that averted a potential strike. Nevertheless, the beaten-down aerospace giant remains about 7% below its 50-day moving average and is mired in a long-term downtrend.
Other names flexing their muscles on the Dow Jones today included American Express (AXP) and insurance play Travelers (TRV).
Apple, which is unveiling its new iPhone 16 models and some other products at its Glowtime event, lagged. Instead of holding a live launch, the media was invited to its Cupertino, Calif., headquarters to watch a video, which was also being livestreamed. Its first unveil was the new Apple Watch, the Series 10, which boasts a larger screen.
The stock was down 0.2% but off its session lows. Apple stock trades just below its 50-day moving average and shows a consolidation entry of 237.23, MarketSurge analysis shows. But the stock appears to be forming a handle with a 232.92 buy point.
Merck (MRK) was the worst laggard, falling roughly 2% on the stock market today.
12:05 p.m. ET
Stock Market Today: Tesla, Nvidia Lead Magnificent Seven
The so-called Magnificent Seven stocks were having mixed fortunes Monday. Tesla stock was out in front as it rallied nearly 3%. But it remains below its 50-day moving average after falling below the benchmark Friday.
AI play Nvidia was also solid here, rising around 2%. The Leaderboard stock, which has an ideal EPS Rating of 99, is above its 200-day moving average but lags the 50-day line.
Amazon.com (AMZN) climbed more than 2% while Meta Platforms (META) and Microsoft (MSFT) each recorded gains of just under 1%.
Google parent Alphabet (GOOGL) struggled even more, falling nearly 1%.
Bitcoin Rallies, Crypto Stocks Gain
Bitcoin has been hit amid broad weakness, but rallied Monday. It was up nearly 2% as it traded at just over the $55,000 per coin level, according to CoinDesk. The digital currency retains a solid year-to-date gain of more than 24%.
Cryptocurrency stocks also made up some ground. Crypto exchange play Coinbase Global (COIN) jumped more than 3%, but sits more than 23% below its 200-day moving average amid recent negative action.
Former IBD 50 member CleanSpark (CLSK) rallied more than 5%, but its 50-day moving average has now fallen below its 200-day line, a bearish signal known as the death cross. Fellow bitcoin miner Riot Platforms (RIOT) rose more than 3% on the stock market today
Marathon Digital (MARA) was shining, rallying more than 8%. But it resides within the bottom 16% of stocks in terms of price performance over the past 12 months.
10:51 a.m. ET
Cathie Wood Snaps Up Tempus AI Stock Amid Plunge
Some adventurous investors would have seen last week’s pullback as a buying opportunity. That was the case with ARK Invest Chief Executive Cathie Wood, who snapped up Tempus AI (TEM) stock on Friday,
Her firm, where she also serves as chief investment officer, snapped up more than 111,000 shares in Tempus for the ARK Innovation (ARKK) ETF on Friday.
Tempus, which had its initial public offering in June, boasts an IBD Composite Rating of 45. The IPO stock has been residing in the top 10% of issues in terms of price performance over the past 12 months. But at Friday’s close the stock had fallen 35% from its high of 77, reached on Aug. 22. Shares plunged more than 11% in morning action Monday.
The ARKK fund also bought nearly 89,000 shares in Recursion Pharmaceuticals (RXRX) but sold more than 50,000 Trade Desk (TTD) shares and sold a tiny sliver of Twist Bioscience (TWST) stock.
Stock Market Today: Palantir Pops Amid S&P 500 Nod
A trio of stocks were rallying on the stock market today amid news they will join the vaunted S&P 500.
Palantir Technologies surged nearly 12% and now sits well above its 50-day moving average. The AI stock currently holds a best-possible Composite Rating of 99 from Investor’s Business Daily. It has rebounded since getting support at its 200-day moving average on Aug. 5.
Computer hardware play Dell Technologies (DELL) rallied nearly 4% on news of its inclusion in the benchmark index. However it still trades near its 200-day line. Its EPS Rating of 57 out of 99 is poor.
The third to join the list, insurance carrier Erie Indemnity (ERIE), was up nearly 4% on the stock market today. Shares are well extended after previously hitting their 20% profit target from a 411.72 entry.
Three Stocks Show Strength Near Entries
While the stock market action has been challenging of late, another trio of stocks are showing strength near buy points. Tyler Technologies (TYL), General Dynamics (GD) and MGIC Investment (MTG) are each moving toward near entries.
Tyler Technologies is near a flat-base buy point of 593.50, according to MarketSurge analysis. This is a second-stage base, which still counts as early.
All-around performance is strong for the information technology management play, which is reflected in the stock’s IBD Composite Rating of 93 out of 99. Tyler is in the top 6% of issues in terms of price performance over the past 12 months.
General Dynamics is eyeing a flat base entry of 302.75. This is also an early stage pattern. The stock has an Earnings Per Share Rating of 84 out of 99. Analysts see earnings jumping 21% this year and rising a further 13% next year.
General Dynamics is a member of the highflying Aerospace/Defense industry group. Big Money has been snapping up shares lately, with its Accumulation/Distribution Rating coming in at B-.
Finally, MGIC Investment has also formed a flat base. The potential entry point here sits at 25.93. The relative strength line sits at fresh heights on its weekly chart, MarketSurge analysis shows.
The mortgage insurance stock boasts a Composite Rating of 93. On the stock market today, it sits among the top 7% of issues in terms of price performance over the last 12 months.
Please follow Michael Larkin on X, formerly known as Twitter, at @IBD_MLarkin for more analysis of growth stocks.
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Jessica Roberts is a seasoned business writer who deciphers the intricacies of the corporate world. With a focus on finance and entrepreneurship, she provides readers with valuable insights into market trends, startup innovations, and economic developments.
