Dow Jones futures were little changed ahead of Tuesday's open, along with S&P 500 futures and Nasdaq 100 futures, in overnight trade. Late Monday, the Instacart IPO priced at $30 a share, the high end of its expected range and valuing the company at nearly $10 billion.
The Fed's meeting wraps up Wednesday with a policy statement and new quarterly projections. Chances are that the Fed will not raise its interest rate target after 11 straight increases since early 2022. Wall Street places a 99% chance of holding interest rates steady, per the CME FedWatch Tool.
But the committee likely won't go so far as to remove the risk of additional rate hikes in the foreseeable future. Even so, a pause could be enough to start and tilt the battle between hawks and doves toward the doves.
Maplebear's Instacart IPO will start trading Tuesday under the ticker symbol CART.
Last week, the grocery-delivery company raised its target price for its initial public offering to a range of $28 to $30 a share after the successful debut of Arm. The company had been seeking a price of between $26 and $30 a share.
Key earnings reports this week include AutoZone, Darden Restaurants, FedEx, General Mills and KB Home. And investors will stay closed tuned to the ongoing United Auto Workers strike against General Motors, Ford and Stellantis.
Stock Market Today: Dow Jones Rises
On Monday, the Dow Jones Industrial Average edged up a fraction, while the S&P 500 climbed 0.1%. The tech-heavy Nasdaq composite inched higher.
Electric-vehicle giant Tesla traded down 3.3% Monday, while Nvidia rose 0.15%. Dow Jones tech icons Apple and Microsoft ended mixed in today's stock market, with AAPL stock up 1.7% and Microsoft down 0.35%.
Other stock market leaders include Alphabet and Meta Platforms. GOOGL stock rose 0.6% and Meta shares climbed 0.75%.
Airbnb, Amazon, Axon Enterprises and IBD Leaderboard stock Quanta Services and — as well as Dow Jones stocks Caterpillar and Intel — are among the best stocks to watch in the struggling stock market uptrend.
Quanta is an IBD Leaderboard stock, while Airbnb featured in this Stocks Near A Buy Zone column. Airbnb was IBD's Stock of the Day on Wednesday.
Dow Jones Today: Oil Prices, Treasury Yields
Ahead of Tuesday's opening bell, Dow Jones futures, along with S&P 500 futures and Nasdaq 100 futures, were little changed vs. fair value. Remember that overnight action in Dow Jones futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
On Monday, the 10-year U.S. Treasury yield ticked lower to 4.31%. Oil prices rose more than 1%, right at their 2023 highs. West Texas intermediate futures settled near $92 a barrel.
Stock Market Rally Struggles: What To Do Now
Now is an important time to read IBD's The Big Picture column, with the major stock indexes struggling to regain traction after Friday's sharp losses.
The IBD current outlook still calls for a recommended stock market exposure of 20% to 40%, but that's only if your recent purchases are holding up. Right now, it makes sense to move back into defense until the overall environment improves.
Keep an eye out for leading stocks during a volatile market environment.
One way to do this is by using the relative strength line. The RS line measures a stock's price performance vs. the S&P 500. ok for stock charts in which the line is trending upward, which means the stock is outperforming the S&P.
The RS line is in all IBD charts and IBD MarketSmith. In addition, the IBD Stock Screener includes a list of top-rated stocks with lines at new highs. MarketSmith also has the "RS Blue Line Dot" list, which screens for RS lines at new highs.
Two useful MarketSmith lists to check right now are "Breaking Out Today" and "Near Pivot." The latter shows stocks nearing buy points in bases, and the other flags stocks rising past buy points during the session.
Five Best Dow Jones Stocks To Buy And Watch Now
Dow Jones Stocks: Caterpillar, Intel
Dow Jones leader Caterpillar is approaching a new flat base's 293.88 buy point after strong gains since early June. CAT stock climbed 0.6% Monday, just 4% away from the latest buy point.
Chip giant Intel is in buy range past a 37.19 flat-base entry, after last week's breakout move. Shares added 0.3% Monday.
4 Top Growth Stocks To Watch In The Stock Market Rally
Stocks To Watch: Airbnb, Amazon, Axon, Quanta
Wednesday's IBD Stock Of The Day, Airbnb, is tracing a cup-with-handle base with a buy point of 151.16. ABNB stock is about 5% away from its latest entry.
E-commerce giant Amazon is back below a 143.63 buy point in a flat base following a short-lived breakout move last week.
Axon Enterprises rebounded 1% Monday, trading about 4% away from a cup with handle's 217.61 buy point.
IBD Leaderboard stock Quanta Services finished Monday below a 206.43 buy point in a short consolidation, according to IBD MarketSmith. Shares are also below their 50-day support level, a key area to watch.
Learn How To Time The Market With IBD's ETF Market Strategy
Best Stocks In Today's Stock Market Action
These are four best stocks to buy and watch in today's stock market, including a Dow Jones leader.
| Company Name | Symbol | Correct Buy Point | Type Of Buy Point |
|---|---|---|---|
| Amazon | 143.63 | Flat base | |
| Caterpillar | 293.88 | Flat base | |
| Airbnb | 154.95 | Cup base | |
| Quanta Services | 206.43 | Consolidation |
Source: IBD Data As Of Sept. 18, 2023
Join IBD experts as they analyze leading stocks in the current stock market rally on IBD Live
Tesla Stock
Tesla stock skidded 3.3% Monday after Goldman Sachs reiterated Tesla with a neutral rating and a 275 price target.
Early Monday, Goldman Sachs analyst Mark Delaney commented on Tesla, "We believe that Tesla could further lower prices in 2024 to support higher volumes which we believe will mitigate the earnings per share benefit from cost reductions."
Shares remain above an early entry at 261.18, though gains are fading. And TSLA stock has a 299.29 official cup-base buy point, but could look to add a handle amid the recent weakness.
Dow Jones Leaders: Apple, Microsoft
Among Dow Jones stocks, Apple stock jumped 1.7% Monday, still below its 50-day line after sharp losses in recent weeks. AAPL stock continues to build a flat base with a 198.23 buy point.
Microsoft shares are moving further below their 50-day line, with a 0.35% drop Monday. Shares are moving up the right side of a cup base that has a 366.78 buy point.
Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more on growth stocks and the Dow Jones Industrial Average.
