Dow Jones futures rose modestly Thursday morning, along with S&P 500 futures and Nasdaq futures. Micron Technology rose in extended trade on strong earnings and guidance.
The stock market rally was narrowly mixed Wednesday. Nvidia cleared a consolidation, hitting a new high. Tesla fell solidly, round-tripping Monday's initial post-robotaxi launch spike. Circle fell sharply for a second straight after a massive run.
Circle stock is on the IBD Leaderboard watchlist and the IBD 50 list.
Dow Jones Futures Today
Dow Jones futures were 0.23% above fair value. S&P 500 futures rose 0.4% and Nasdaq 100 futures climbed 0.5%.
The 10-year Treasury yield dipped to 4.28% after closing unchanged at 4.29% on Wednesday.
Remember that overnight action in Dow futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
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Micron Earnings
Micron earnings easily beat views. The memory-chip giant, which is a significant AI play, also guided higher for the current quarter.
Micron stock rose modestly in premarket trade. Shares edged down 0.5% to 127.25 on Wednesday. MU stock has surged since early April, clearing early entries and moving toward the top of a long, deep consolidation.
Stock Market Rally
The stock market rally had a narrowly divided Wednesday on the major indexes, while small caps fell solidly.
The Dow Jones Industrial Average fell 0.25% in Wednesday's stock market trading after Tuesday's move to the best levels since early March. The S&P 500 index was essentially flat. The Nasdaq composite climbed 0.3%, though it backed off a brief move above 20,000. The small-cap Russell 2000 sank 1.2%, backing off from near the 200-day line.
U.S. crude oil prices rose 0.85% to $64.92 a barrel.
ETFs
Among growth ETFs, the Innovator IBD 50 ETF fell 1.5%. The iShares Expanded Tech-Software Sector ETF dipped 0.3%. The VanEck Vectors Semiconductor ETF gained 1.35%. Nvidia is the top position in SMH with Micron stock a big component.
Reflecting more-speculative story stocks, ARK Innovation ETF fell 1.1% and ARK Genomics ETF climbed 0.5%. Tesla stock is the No. 1 component across ARK Invest's ETFs. Cathie Wood also has a big position in Circle stock.
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Nvidia Stock Hits High
Nvidia stock rose 4.3% to 154.31 on Wednesday, clearing the record 153.13 set in early January. Investors could use this as an entry, though NVDA stock has already had buy points within the consolidation.
Tesla Stock Round-Trips
Tesla stock fell 3.8% to 327.55 on Wednesday. Intraday, shares briefly round-tripped Monday's 8.2% jump after bulls cheered the limited robotaxi launch in Austin, Texas, on Sunday. The 10 or so Model Ys, with "safety monitors" and teleoperators, have had a few issues and has suspended operations during certain various weather conditions.
TSLA stock could be building a short base within a much-bigger consolidation. Shares did close just above their 21-day line.
Meanwhile, Xiaomi will officially launch the YU7 crossover on Thursday, likely posing as a huge challenger to the Tesla Model Y in China. Xiaomi's only model, the SU7, has outsold the Tesla Model 3 consistently for several months.
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Circle Stock Tumbles Again
Circle stock dived 10.8% to 198.62, following Tuesday's 15.5% tumble. The stablecoin issuer peaked at 298.99 intraday Monday. CRCL stock priced its IPO at $31 a share in early June, with an opening trade of 69 on June 5.
What To Do Now
The stock market rally is in strong shape, continuing to shrug off potentially bearish news. The S&P 500 and Nasdaq composite are near record highs. Investors should be heavily invested, looking for new potential buys to add exposure or replace laggards.
Speculative growth has been hot, but those names are prone to sharp losses, such as Circle. So make sure to buy correctly, follow your sell rules as well as be cognizant of how much exposure you have to stocks with high average true ranges.
Work on watchlists but have your exit plans in place.
Read The Big Picture every day to stay in sync with the market direction and leading stocks and sectors.
Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
