Early Friday, Dow Jones futures moved higher as S&P 500 futures and Nasdaq futures dipped slightly. Overnight, Dell Technologies (DELL) and several software companies reported earnings, while Tesla stock continued to decline after its Cybertruck delivery event.
The previous day, the stock market experienced a split session, with the Dow Jones reaching a 52-week high, largely due to Salesforce (CRM) and UnitedHealth Group (UNH). Meanwhile, the Nasdaq retreated, but not as significantly as the previous day.
Key earnings announcements late Thursday included Dell Technologies, Elastic (ESTC), Samsara (IOT), Marvell Technology (MRVL), UiPath (PATH), and Ulta Beauty (ULTA). Following these announcements, DELL stock declined, though ESTC, IOT, and PATH stock surged early Friday.
In addition, Tesla’s Chinese competitors, Li Auto (LI), XPeng (XPEV), and Nio (NIO), reported November deliveries on Friday. Li Auto and XPeng set new records, though Nio fell slightly. Meanwhile, BYD (BYDDF), which has been offering significant discounts amid a growing price war in the Chinese electric vehicle market, is expected to release its monthly sales numbers soon.
The day’s schedule includes a speech from Fed chief Jerome Powell, as well as manufacturing and construction data. Additionally, NVIDIA (NVDA) and Meta Platforms (META) are on IBD Leaderboard, IOT, LI and CRM are on the IBD 50, and UNH stock is on IBD Long-Term Leaders.
Dow Jones futures are up slightly, while S&P 500 futures and Nasdaq 100 futures dipped early Friday. The 10-year Treasury yield decreased to 4.32%, though it is important to note that overnight activity in Dow futures and similar indices does not necessarily indicate potential movement in the next regular stock market session.
The stock market rally showed divergence, with the Dow Jones rising and leading most indexes. The Dow Jones Industrial Average enjoyed a significant increase in Thursday’s trading, reaching its highest level since January 2021, with CRM and UNH stock leading the way.
The S&P 500 index also gained, while the Nasdaq composite decreased slightly. Market breadth was reasonable, with winners outpacing losers on the NYSE and the Nasdaq being approximately even. Overall, Thursday’s activity suggests continued unpredictability and potential opportunities.
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