Dow Jones futures were little changed overnight, along with S&P 500 futures and Nasdaq futures. The Federal Reserve is expected to announce its first rate cut of 2025, with Fed chief Jerome Powell comments about possible future moves key.
The stock market rally edged lower Tuesday as the two-day Fed meeting got underway.
Meta Platforms is above early buy points heading into its Connect conference. Uber Technologies, Blackstone, Robinhood Markets, Nvidia and Vertiv also are near buy points while Palantir Technologies finishes a new base.
Vertiv stock and Robinhood are on the Leaderboard watchlist. Meta stock is on SwingTrader. Palantir stock, Robinhood and Nvidia are on the IBD 50. Nvidia stock and Palantir are on IBD Sector Leaders. Meta was Tuesday's IBD Stock Of The Day.
The video embedded in the article reviews Tuesday's market action and previews the Fed meeting announcement. It also analyzes Robinhood stock, Nvidia and Rocket Lab.
Dow Jones Futures Today
Dow Jones futures were even vs. fair value. S&P 500 futures and Nasdaq 100 futures edged higher.
Remember that overnight action in Dow futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
Fed Rate Outlook Key
The Fed is expected to announce a quarter-point rate cut on Wednesday at 2 p.m. ET. There could be some dissents, with a few officials calling for 50 basis points and even some opposed to any move at all. The rate-cut outlook will be key with Fed chief Jerome Powell's press conference at 2:30 p.m. ET hopefully providing some clarity. Investors are betting on quarter-point cuts in October and December.
Join IBD experts as they analyze leading stocks and the market on IBD Live
Stock Market Rally
The stock market rally had a subdued session heading into the Fed meeting announcement, with the major indexes slightly lower but right at record highs.
The Dow Jones Industrial Average fell 0.3%in Tuesday's stock market trading. The S&P 500 index and Nasdaq composite dipped 0.1%. The small-cap Russell 2000 lost 0.x%.
Many leaders made small moves, like the major indexes. Uranium plays retreated after many soared Monday on U.S. stockpile reports. Rocket Lab stock dived 12.6%, plunging below a buy point on a share offering announcement.
U.S. crude oil prices rose 1.9% to $64.52 a barrel amid reports that Russia may curb oil exports amid Ukraine attacks.
The 10-year Treasury yield fell one basis point to 4.025%, still around five-month lows.
ETFs
Among growth ETFs, the Innovator IBD 50 ETF declined 0.7%. The iShares Expanded Tech-Software Sector ETF dipped 0.1%, with Palantir stock a major holding. The VanEck Vectors Semiconductor ETF eked out a gain, with Nvidia stock still the dominant component.
ARK Innovation ETF rallied 1.6% and ARK Genomics ETF jumped 2.3%, with Palantir and Robinhood both top-10 holdings across ARK Invest's ETFs.
SPDR S&P Metals & Mining ETF shed 0.95%. SPDR S&P Homebuilders ETF fell 0.4%. The Energy Select SPDR ETF rose 1.7% and the Health Care Select Sector SPDR Fund just edged lower.
The Industrial Select Sector SPDR Fund declined 0.3%. The ETF holds a significant Uber stock stake. he Financial Select SPDR ETF dropped 0.2%, with Blackstone a member.
Best Growth Stocks To Buy And Watch
Stocks Near Buy Points
Meta stock rose 1.9% to 779 on Tuesday, after rising to 781.36 intraday. Shares are slightly below an early entry of 766.51 but above a downward-sloping trendline. Meta is on track to have a 796.25 flat-base buy point after this week.
Meta begins its Connect developers conference on Wednesday. CEO Mark Zuckerberg will give the keynote address at 5 p.m. PT. New smart glasses and AI tools will be in focus.
Uber stock fell 1% to 97.83, holding a 97.54 cup-with-handle buy point cleared Monday.
Blackstone stock gave up 8 cents to 183.72 on Tuesday, holding its 181.32 cup-with-handle buy point after breaking out last week.
Robinhood stock advanced 2.2% to 117.38, back near a 177.70 buy point from a short consolidation.
Nvidia stock fell 1.6% 174.84, testing its 50-day line. The AI chip giant has a 184.48 flat-base buy point, according to MarketSurge. Investors could use last week's high of 180.28 as an early entry.
Vertiv stock fell 1.2% to 136.65 on Tuesday, still pausing after popping above its 50-day line last week on Oracle's blowout guidance. The AI infrastructure play and Nvidia partner has a 153.50 cup-base buy point with recent highs offering an early entry.
Palantir Technologies stock is filling out a base with a potential 190 buy point. PLTR stock edged down 0.55% on Tuesday to 170.26. Shares broke above the 50-day and 21-day line last week offering an early entry.
What To Do Now
The market rally is holding at highs, with a number of leading stocks setting up or in buy zones.
Investors may want to wait to see how the market reacts to the Fed meeting announcement and Fed chief Powell's comments. Don't forget that markets often have a day two reaction to Fed meetings.
Definitely be ready. Have your watchlists ready. But also have exit strategies in place, especially if you're aggressively exposed.
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Please follow Ed Carson on Threads at @edcarson1971 and X/Twitter at @IBD_ECarson for stock market updates and more.
