Dow Jones rises on election day; Nvidia is developing a new chip for China

The Dow Jones Industrial Average rose Tuesday morning as US voters head to the polls. The chip giant Nvidia ( NVDA ) rose 3% after unveiling a high-end chip designed to meet U.S. export restrictions to China.


They were the main earnings movers on Tuesday Diamondback Energy (FANG), GlobalFoundries (GFS), Lyft (LYFT), Mosaic (MOS) and Shockwave Medical (SWAV).

FANG stocks traded slightly lower in morning trading, while GlobalFoundries rose more than 6%. Lyft shares fell more than 16%. Mosaic stocks are higher. Shockwave shares, meanwhile, lost more than 6%.

The electric car giant Tesla ( TSLA ) was down nearly 3% Tuesday morning. Dow Jones technology leaders apple (AAPL) and Microsoft (MSFT) rose after the stock market opened today.

Among the best stocks to buy and watch, Albemarle (ALB), an IBD Leaderboard watchlist stock Arista Networks (ANET), CF Industries (CF) and New Castle Energy (NFE) – also names Dow Jones Merck (MRK) and UnitedHealth Group (UNH) — is among the best stocks to buy and watch.

Arista Networks IBD Leaderboard is a watchlist fund. Albemarle was featured in this week’s Stocks Near Buy Zone column, along with three other top stock ideas. UnitedHealth was IBD’s Stock of the Day on Thursday.

IBD’s latest MarketDiem newsletter delivers actionable ideas for stocks, options and cryptocurrencies straight to your inbox.

Dow Jones today: Treasury yields, oil prices

The Dow Jones Industrial Average was up 0.7% and the S&P 500 was up 0.3% after the opening bell on Tuesday. The tech-heavy Nasdaq composite, with Nvidia and Nvidia up just 0.2% in morning action. Amgen (AMGN) leads the index.

Among exchange-traded funds, Nasdaq 100 tracker Invesco QQQ Trust ( QQQ ) rose 0.4% and the SPDR S&P 500 ETF ( SPY ) rose 0.3%.

The 10-year Treasury yield fell to 4.19% on Tuesday morning, snapping a four-day winning streak that saw the 10-year Treasury yield close to a 52-week high. Meanwhile, U.S. oil prices fell about 1%, with West Texas Intermediate futures just above $91 a barrel. WTI futures hit their highest level since mid-October last week.

Stock Rally Battles

The Dow Jones Industrial Average gained 1.3% and the S&P 500 gained 1% on Monday. The technically heavy Nasdaq composite rose 0.85%.

The Big Picture commented on Monday, “While Monday’s moves were encouraging, the stock market needs to do more to regain investor confidence. IBD has shifted the market outlook to ‘bullish under pressure’ after last week’s nascent rally came under selling pressure.”

Now is an important time to read IBD’s The Big Picture column. After the recent selloff, investors should focus on playing defense rather than buying breakouts.

Five Dow Jones Stocks to Buy and Watch Now

Dow Jones Stocks to Buy and Watch: Merck, UnitedHealth

Dow Jones member and IBD 50 stock Merck remains out of buy range after crossing the 93.12 buy point of the double-low base, According to IBD MarketSmith model recognition. Merck shares fell on Tuesday.

Healthcare giant UnitedHealth is trying to break out of a cup with a 553.23 buy point, According to IBD MarketSmith. Shares rose 1.3% on Monday, slightly lower than their last entry. Shares of UNH were down 0.2% on Tuesday morning.

4 Best Growth Stocks to Watch on Current Stock Market Rally

Best stocks to buy and watch: Albemarle, Arista, CF, New Fortress

Lithium producer Albemarle is forming the right side of a bullish base with a 308.34 buy point. Shares rose 0.5% on Monday, extending their winning streak to three sessions. ALB shares rose 1.6% on Tuesday.

IBD Leaderboard watchlist stock Arista Networks is trying to beat the 132.97 buy point. ANET shares were down 0.4% on Tuesday morning.

CF Industries is struggling to find support around its 50-day moving average amid Monday’s 1% loss. Shares are forming a cup base with a buy point of 119.70, According to IBD MarketSmith model recognition. CF shares rose 0.3% on Tuesday.

New Fortress Energy is rapidly approaching the 63.16 buy point of the cup base. With shares about 6% away from new highs, watch for a spike to suggest an early entry. The energy leader reported mixed results early Tuesday, leading to a 3% retreat.

Join IBD’s experts as they analyze the leading stocks in the current stock rally on IBD Live

Tesla shares

Tesla shares slid 5% on Monday, hitting a new 52-week low and the lowest level since June 2021. Shares are more than 50% off their 52-week highs and sharply below their 50- and 200-day moving averages.

Shares of the home appliance giant fell 2.8% on Tuesday morning. Tesla delivered 71,704 Chinese-made EVs in October, down 14% from September, according to the China Passenger Car Association.

Dow Jones Leaders: Apple, Microsoft

Among the Dow Jones stocks, Apple shares rose 0.4% on Monday, snapping a five-day losing streak. Shares rose 0.3% on Tuesday after two analyst firms maintained buy/overweight ratings on the tech titan. But UBS cut its price target to 180, while Morgan Stanley lowered its price target to 175.

Microsoft continued to rally from Friday’s 52-week low, rising another 2.9% on Monday. The software giant is down nearly 35% from its 52-week high. Microsoft shares rose 0.5% on Tuesday morning.

Be sure to follow Scott Lehtonen on Twitter @IBD_SLehtonen For more information on growth stocks and the Dow Jones Industrial Average.


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