The Dow Jones Industrial Average closed low after inverting amid reports that rockets had struck inside Poland. The new Warren Buffett is holding Taiwan Semiconductor (TSM) spiked while Donald Trump SPAC Acquiring the digital world (DWAC) plunges ahead of the expected announcement of another Trump presidential run.
Volume increased on both the Nasdaq and the New York Stock Exchange according to early data.
The yield on the benchmark 10-year Treasury note fell 10 basis points to 3.77%. West Texas Intermediate crude rose 1% to trade near $87 a barrel.
The market was given an early boost by encouraging producer price index data. Producer prices rose 8% in October, lower than September’s 8.5% and also below the consensus estimate of 8.3%. Core price is up 6.7%, below September’s 7.2% and below consensus of 7.2%.
But the market was shaken from the highs after reports of a missile attack in Poland. A US official told the Associated Press that the missile passed NATO member Poland, killing two people. It is not known where the rocket came from. Polish officials have not confirmed a report that the missile was Russian.
Russia has declared the reports a “deliberate provocation aimed at escalation.” The reported attack in Poland comes amid a series of much larger strikes in Ukraine, one of the largest Russian-Ukrainian wars to date.
Nasdaq drops high as small cap bounces
Nasdaq closed at the highest of the day but was still up 1.5%. data (DDOG) was a standout with a 10.2% increase.
The S&P 500 rose 0.9%. Financial SVB (SIVB) increased sharply here, up 9.2%.
S&P500 most areas are positive with technology and communication services with the best interests. Health and materials were the only sectors that closed negatively.
The small cap impresses, with the Russell 2000 index ending the day up 1.5%.
Innovator IBD 50 ETF (FFTY), a fulcrum for growth stocks, is also strong. It increased 1.4%.
Dow Jones Today: Apple Stock, Nike Shine
The Dow Jones Industrial Average has been at a high but has managed to recover from the red zone. Although slightly positive, it has not changed fundamentally.
Outside of Walmart, Apple (AAPL) is one of the best performing stocks on the Dow Jones index today. Its 1.2% gain suggests it is closer to the 200-day moving average.
Nike (NKE) had an even better session as it rallied 2.2%.
Walmart earnings boost retail stocks
Walmart stock is the best performing stock on the Dow Jones index today. It was boosted by earnings reports early Tuesday.
The company reported a 3% increase per share to $1.5 per share while revenue grew 8.7%, to $152.8 billion.
Analysts had expected Walmart to report third-quarter EPS of $1.32 on revenue of $147.67 billion. Comparable store sales grew 8.2% overall, while the e-commerce segment grew 16%.
Other retail stocks also rallied.
New Warren Buffett stock rocket
Taiwan Semiconductor shares soar on Tuesday on news of Warren Buffett taking the lead Berkshire Hathaway (BRKB) grab shares in the company.
The company bought about 60 million shares worth more than $4.1 billion, according to The company’s latest 13F profile.
TSM stock ended the session near the highest level as it gained 10.5%. It has now broken out of the 50-day moving average and is closing above the 200-day line.
This isn’t Warren Buffett’s only new stock, however. Berkshire Hathaway also opens positions in Louisiana Pacific (LPX) and Financial Jefferies (JEF). LPX shares rose 7.8% while Jefferies gained 2.1%.
Donald Trump Diving SPAC
SPAC Digital World Acquisition fell sharply ahead of Trump’s expected announcement of his presidential run on Tuesday. He is expected to make his announcement at 9 p.m. ET from his Mar-a-Lago estate.
DWAC stock ended the session near its intraday low, down 8.8%. It is down about 51% for the year, but at a 12-month low.
This stock is among the worst 16% of stocks in terms of stock market performance over the past 12 months.
The fate of Digital World Acquisition, the special-purpose acquisition company affiliated with Trump, remains unclear.
The company, which is trying to bring the former president’s Trump Media and Technology Corporation to the public, must once again have a decisive vote. The shareholder vote on whether to approve an extension of the deadline to complete the merger has been pushed back to November 22.
The main product of the Trump Media and Technology Corporation at the moment is the conservative social media site Truth Social, a right-wing alternative to Twitter.
Outside of the Dow Jones: 3 stock checks
The trio of notable names are worth considering the test buy point.
Tenaris is in a buy zone after clearing a cup-with-handle buy point of 34.19. Steel reserves can be sued as high as 35.90.
Tenaris is the largest supplier of steel pipes used to construct oil and gas wells. Earnings are expected to grow 123% by 2022.
MercadoLibre is also doable after crossing the handle buy point of 1,018.10. E-commerce gaming in Latin America has seen its RS line spike.
Meanwhile, a Shift4 Checkout is also possible after the standard entry 51.52 runs out.
Paying shares were boosted by news that the Chickasaw Nation, the 13th largest Native American tribe in the United States and operator of 23 casinos and many other businesses in Oklahoma, had chosen the company to handle. payment processor at all of its casino locations.
Please follow Michael Larkin on Twitter at @IBD_MLarkin for more analysis on growth stocks.
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