Wall Street was choppy before closing mixed, as Tech and small-cap stocks rebounded — and more in Friday’s stock market recap.
The blue-chips and overall market struggled, but better-than-expected economic news and earnings results helped bullish sentiment. Fears of rising interest rates remained in play, however
The Nasdaq showed the most strength after rising 0.6% while testing an intraday high of 13,368.
The Russell 2000 edged up 0.04%, with the midday peak reaching 2,232.
The S&P 500 was down 0.5% after tagging a first-half low of 3,789 shortly after the opening bell.
The Dow fell 1.5% with the morning low hitting 30,911.
Technology and Communication Services led sector strength with gains of 0.5% and 0.4%, respectively. Energy and Utilities paced sector weakness after falling 2.4% and 1.9%.
DoorDash Inc. (NYSE: DASH) shares were up by nearly 2% following a rocky session after the company’s first earnings release since becoming publicly traded. The food delivery service reported lower-than-expected results but upbeat revenue.
The company reported a fourth-quarter loss of -$2.67 versus forecasts for red ink of -14 cents. Revenue came in at $970 million with consensus just below $938 million. Total Orders grew 233% year-over-year to 273 million.
The percentage of Nasdaq 100 stocks trading above the 50-day moving closed at 48.03%, up 0.98%. Near-term and lower resistance at 47.5%-50% was recovered. A move above the latter would signal strength towards 52.5%-55%. Support is at 45%-42.5%.
The percentage of S&P 500 stocks trading above the 200-day moving average settled at 80.79%, down 0.99%. Current and upper support at 80%-77.5% was challenged but held. A close below the latter would signal weakness towards 75%-72.5%. Resistance is at 82.5%-85% with the latter representing overbought levels from earlier in the week.
From the global stock market recap, European markets closed lower.
The U.K.’s FTSE 100 tanked 2.7% and the Belgium20 dropped 2.3%. The Stoxx 600 was off 1.6% and France’s CAC 40 was lower by 1.4%. Germany’s DAX 30 lost 0.7%.
Asian markets suffered steep losses.
Japan’s Nikkei plummeted 4% and Hong Kong’s Hang Seng sank 3.6%. South Korea’s Kospi tumbled 2.8% and Australia’s S&P/ASX 200 fell 2.4%. China’s Shanghai gave back 2.1%.
Personal Income rose 10% in January while spending increased 2.4%. Compensation rose 0.7% after climbing 0.5% in December, while wage and salary income also rose 0.7% versus the prior 0.5% gain.
Advance trade deficit widened to -$83.7 billion in January after narrowing to -$83.2 billion in December. Exports climbed 1.4% to $135.2 billion extending from the 4.6% rise to $133.3 billion. Imports rose 1.1% to $218.9 billion, a new record high, after rising to 1.4% to $216.4 billion previously. Advance wholesale inventories increased 1.3% to $661.6 billion after the prior 0.5% gain to $652.8 billion. Advance retail inventories fell -0.6% to $625.1 billion after rising 1.9% to $628.9 billion previously.
The iShares 20+ Year Treasury Bond ETF (Nasdaq: TLT) snapped a six-session losing streak after tagging an intraday high of $143.30. Fresh and lower resistance at $143-$143.50 was cleared and held. A close above the latter would indicate further strength towards $144.50-$145.
Support is at $142-$141.50 followed by $140-$139.50.
The iPath S&P Vix Short-Term Futures (NYSEArca: VIX) was down for the third time in four sessions following the intraday fade to 25.23. Near-term and upper support at 25.50-25 was breached but held on the 2nd-straight close above the 200-day moving average. A close below the 25 level would indicate a retest towards 24-23.50 and the 50-day moving average.
Resistance is at 28-28.50 followed by 30.50-31.
The Wilshire 5000 Composite Index (NYSE: WLSH) was down for the second straight session after testing an opening low of 40,168. Current and upper support at 40,500-40,250 and the 50-day moving average were breached but levels that held. A move below the latter would indicate ongoing risk towards 40,000-39,750.
Resistance at 40,750-41,000.
RSI (relative strength index) is showing signs of flatlining with lower resistance at 45-50 getting cleared but holding. A close above the latter would signal strength towards 55-60. Support is at 40-35 and levels from late October.
The Industrials Select Sector SPDR Fund (NYSE: XLI) extended its losing streak to two sessions with the intraday low hitting $90.36. Near-term and upper support at $90.50-$90 failed to hold. A close below the latter would suggest additional weakness towards $89-$88.50 and the 50-day moving average.
Resistance is at $92-$92.50 followed by $93.50-$94 with the recent all-time peak at $93.66.
RSI is in a downtrend with upper support at 55-50 failing to hold. A close below the latter keeps downside risk towards 45-40 in play. Resistance is at 60.
Check back after the closing bell for the most important news and numbers in the WealthPress stock market recap.