Dow Jones rises, Nvidia recovers; Cathie Wood invests in this stock after rising 124%

The Dow Jones Industrial Average gained as a component 3M (MMM) jumped to legal news. Nvidia (NVDA) reversed higher as chip stocks rose. Cathie Wood invested in a stock that recently posted a breakthrough gain of 124%.


Now is a crucial time for investors to expand their watch lists. Jabil (JBL), Nov (NOV) and Hubbell (HUBB) are three names rising near buy points after establishing bullish bases.

Government bond yields fell. The 10-year yield fell 3 basis points to 4.21%, while the two-year yield fell 1 basis point to 5.05%. The yield curve remains inverted.

Nasdaq is recovering while small caps are on the rise

The tech-heavy Nasdaq was the best-performing major indices, up 0.8%. Warner Bros. Discovery (WBD) played a leading role here, as it rose 4.2%.

The benchmark S&P 500 returned a more modest 0.6%. Boston Scientific (BSX) performed well here, up 6%.

Almost all sectors of the S&P 500 ended in positive territory. Communication services and technology was the best performer in the stock market today. The utilities sector was the only area that closed lower.

Small caps fared better, with the Russell 2000 up 0.8%. Growth stocks also had a solid session, with the innovator IBD 50 ETF (FFTY) gaining 0.7%.

Dow Jones today: MMM shines, Boeing stock soars

The Dow Jones Industrial Average recovered at the close. It rose by 213 points or 0.6%.

3M was the best performer in the index after it rose 5.2% after Bloomberg reported that it had reached a tentative settlement over litigation related to the company’s combat earbuds.

The company reportedly agreed to pay out more than $5.5 billion to resolve more than 300,000 lawsuits alleging that service members were hard of hearing due to faulty equipment.

Goldman Sachs (GS) and Boeing (BA) also impressed the Dow Jones today, up 1.8% and 1.6% respectively.

Johnson&Johnson (JNJ) and Merck (MRK) lagged with declines of 1.2% each.

Cathie Wood buys this stock after Monster Run

There are few fund managers who are more closely watched than tech investor Cathie Wood.

The CEO of ARK Invest has placed a bullish bet on a stock that has recently surged as much as 124% after a recent breakout.

She bought more than 129,000 shares Archer Aviation (ACHR) for its flagship ETF, ARK Innovation ETF (ARKK) on Friday.

Cathie Wood bought additional shares for the ARK Space Exploration & Innovation ETF (ARKX) and the ARK Autonomous Technology & Robotics ETF (ARKQ).

The bet paid off immediately as the stock ended Monday’s session up 10.8%.

Archer Aviation is developing the eVTOL aircraft to serve as an air taxi service to transport people. The company is unprofitable and no earnings are expected for the next few years.

After breaking out of a consolidation with an ideal entry point of 3.34, it is up more than 124% recently.

However, IBD recommends investors to focus on stocks with a purchase price of more than 10. The sharp decline in ACHR underscores the risks of being shaken out of such cheap issuance.

Still, with a relative strength rating of 99, it’s in the top 1% of stocks in terms of price performance over the past 12 months.

Nvidia stock surges as chips strike back

Nvidia stock ended the day near session highs. It rebounded from the red early in the session, up 1.8%.

NVDA is trading near a potential entry of 480.88. It is also above its short-term and major moving averages.

It’s been a momentous year for Nvidia stock, with a burgeoning enthusiasm for AI. NVDA is up more than 227% so far this year.

The stock is also a member of the prestigious IBD Leaderboard list of top stocks.

Other chip stocks have also seen an uptick. Micron technology (MU) up 2.5%, intel (INTC) rose 1.1% and Taiwan Semiconductor (TSMC) rose 1%.

modern micro devices (AMD), a competitor to Nvidia in the AI ​​space, managed to reverse higher, gaining 0.4%.

Outside of Dow Jones: 3 stock eye entries

The market is still in a corrective phase, although indices are trying to recover. Here are some possible candidates for your watch list.

According to MarketSmith analysis, Jabil has formed a flat base with an ideal buy point at 115.25. Also, the relative strength line reached new heights as it neared an entry point, earning it a blue dot on the MarketSmith chart.

Overall performance is very strong, with the stock boasting an impressive EPS rating of 95 out of 99.

The contract manufacturer announced the news on Monday that it would reduce its involvement with major customers Apple (AAPL) and operations in China through the sale of its mobility unit.

Oil & Gas Equipment (NOV) shares neared a record 20.98. The relative strength line has been looking strong lately.

Overall performance is solid here, with an IBD Composite Rating of 96.

Hubbell builds the right side of a flat base. The ideal buy point here is 340.06. This is a second level pattern, which means there is a high probability of hitting big wins.

Institutional investors have been net buyers of late, with the accumulation/distribution returning a solid B-.

Please follow Michael Larkin on Twitter at @IBD_MLarkin for more analysis of growth stocks.


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Robert Wilson

Business & economics analyst. Breaking down intricate financial trends for informed decision-making.

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