Dow Jones futures and the other major stock indexes rose modestly Wednesday as Wall Street braced for the Federal Reserve’s interest rate decision and Fed Chair Jerome Powell’s comments. An early mover on the stock market today was Nvidia (NVDA), which gave up a key technical support level in recent sessions.
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Stocks Erase Gains With Fed Due; Interactive Brokers, Wingstop, DoorDash In Focus
Ahead of the opening bell, Dow Jones futures rose 0.1% vs. fair value, as did S&P 500 futures. Nasdaq 100 futures moved up 0.2% in early trading.
Early Wednesday, the 10-year Treasury yield ticked higher to 3.67%. Oil prices dropped after five days of gains, with West Texas Intermediate futures easing more than 1% to around $69.10 per barrel.
Among exchange traded funds, the Invesco QQQ Trust (QQQ) was up 0.2%, as the SPDR S&P 500 ETF (SPY) moved up 0.1% ahead of the open.
Nvidia gave up its 50-day moving average, a critical level to watch, during this week’s losses. If Nvidia stock is unable to regain its 50-day line, then it’s likely that the stock needs more time to consolidate. A decisive retake of that benchmark would be a bullish signal. The stock bounced 0.2% early Wednesday.
Apple Seeks Support As Netflix Tries To Stop Buffering And Break Out
Stock Market Today: Fed Decision, Powell
The Fed’s two-day policy meeting concludes Wednesday, culminating in an interest rate policy announcement at 2 p.m. ET. The central bank appears set to execute its first rate cut since it slashed its key rate to almost zero in March 2020, responding to the sharp economic slowdown caused by the Covid pandemic.
Following Wednesday’s announcement, Fed chief Powell will hold his press conference at 2:30 p.m. ET.
As of Wednesday morning, markets see 63% odds of a half-point Fed rate cut and 37% odds of a quarter-point move, according to CME Group’s FedWatch tool. That marks a change from 50-50 odds over the weekend.
Nvidia, Apple And Tesla Highlight How To Handle This Market
On Tuesday, the Dow Jones Industrial Average reversed slightly lower after hitting another all-time high. The S&P 500 inched higher, as the tech-heavy Nasdaq composite rose 0.2%.
During Tuesday’s IBD Live show, the IBD Live team discussed the current trading conditions and how investors should handle the stock market today.
Amazon Overtakes Google. Tesla’s Mag 7 Card Under Threat — Again.
Stock Market Today: Best Stocks To Watch
Among the best companies to watch on the stock market today are Costco Wholesale (COST), DoorDash (DASH) and Taiwan Semiconductor Manufacturing (TSM).
Notable Dow Jones components are Amazon.com (AMZN), Apple (AAPL), Home Depot (HD), Microsoft (MSFT) and Visa (V).
Home Depot and DoorDash featured in this Stocks Near A Buy Zone column.
There were four new stocks on IBD MarketSurge‘s “Breaking Out Today” list Tuesday during the stock market action. Notably, Corcept Therapeutics (CORT) topped a 39.75 buy point. And there is an increasing number of names on the site’s “Near Pivot” list. To find more stock ideas, check IBD Stock Lists like IBD 50, Big Cap 20 and Stocks Near A Buy Zone.
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Dow Jones: Home Depot, Visa In Buy Zones
Dow Jones payments stock Visa is breaking out above a 290.96 flat-base entry. Shares added 0.3% Wednesday morning.
Further, Home Depot is breaking out past a handle buy point at 378.58, according to MarketSurge pattern recognition. Shares were up a fraction early Wednesday.
Outside the Dow Jones index, retail giant Costco is barely above a 896.67 cup-base entry following two days of losses. The stock rose 0.3% Wednesday morning.
DoorDash ended Tuesday just below a cup-with-handle’s 131.21 buy point. Shares rose 0.4% early Wednesday.
Taiwan Semiconductor is nearing a cup-with-handle’s 175.45 entry, and it rose 0.6% Wednesday morning.
Find The Best Stocks To Buy And Watch With IBD Stock Screener And IBD Screen Of The Day
Stock Market Today: Companies To Watch
These are four stocks in or near buy zones in today’s stock market.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Ferrari | (RACE) | 442.80 | Flat base |
| Taiwan Semiconductor | (TSM) | 175.45 | Cup with handle |
| ServiceNow | (NOW) | 850.33 | Flat base |
| Uber Technologies | (UBER) | 75.40 | Double bottom |
Source: IBD Data as of Sept. 10
Join IBD Experts As They Analyze Leading Stocks In The Stock Market Today On IBD Live
Magnificent Seven Stocks: Alphabet, Tesla
Among Magnificent Seven stocks, Alphabet (GOOGL) and Tesla (TSLA) traded higher in early action.
Google parent Alphabet is back above the 200-day line as it rebounds. After extending a win streak to five sessions Tuesday, shares added another 0.9% in early trade Wednesday.
And Tesla added 0.5% Wednesday morning, set to add to Tuesday’s 0.5% rise. Shares of the electric-vehicle leader are just below 235 early entry, the high price on Sept. 5.
Dow Jones Leaders: Apple Breaks Key Level
Among Dow Jones components in the Magnificent Seven, Amazon shares reclaimed their 50-day line during last week’s rally. The stock was up 0.2% Wednesday morning.
Tech titan Apple remains squarely below the 50-day line. A v-shaped cup with handle shows a 232.92 entry. Shares lost 0.2% Wednesday morning.
Microsoft shares are also back above their 50-day line and building a new base. And on Wednesday morning, the stock rose 0.4%.
Be sure to follow Scott Lehtonen on X at @IBD_SLehtonen for more on growth stocks, the Dow Jones Industrial Average and the stock market today.
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