Afternoon gains helped the stock market close modestly higher, while index action suggested that stocks are at least slowing their slump.
Thursday's trading saw the major indexes close near session highs. Indexes bottomed about 90 minutes into the session.
The S&P 500 reversed higher to close up 0.5%. The index found support as it pulled back to the 50-day moving average. That's a positive sign because it showed sellers shaken out, at least temporarily.
It also resembled support the S&P 500 got at the same moving average in early February. On March 4, the S&P 500 fell below the 50-day line but rebounded the next day, which took the index to its March 17 record high.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 32620.87 | +200.81 | +0.62 |
| S&P 500 | (0S&P5) | 3909.73 | +20.59 | +0.53 |
| Nasdaq | (0NDQC ) | 12977.68 | +15.79 | +0.12 |
| Russell 2000 | 216.76 | +4.72 | +2.23 | |
| IBD 50 | 43.05 | +0.55 | +1.29 | |
Last Update: 4:08 PM ET 3/25/2021 |
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The Nasdaq composite erased a nearly 1.4% decline and closed 0.1% higher. The composite, however, remains below the 50-day average. It's become a lagging index after leading earlier in the year. On Thursday, the Nasdaq ended 8% from its prior high, compared with 2% for the S&P 500.
The Dow Jones Industrial Average made its own positive reversal, rising 0.6%. The Dow is now the best performing of the three major indexes, up 6.6% for the year so far as of today's close, vs. 4.1% for the S&P 500 and 0.7% for the Nasdaq.
Small caps bounced back energetically. The Russell 2000 rallied 2.3% at the closing bell.
Volume rose on the NYSE and fell on the Nasdaq, based on early data. Advancing stocks led decliners by nearly 2-to-1 on the Nasdaq and NYSE.
Consumer Shares Lead Stock Market
Consumer stocks led the stock market. Several retail industry groups, consumer electronics, travel booking and airlines rose more than 2% Thursday, and ranked among the top 20 of 197 IBD industry groups.
Transportation Select Sector SPDR ETF and Industrial Select Sector SPDR ETF reversed higher. Both were among the best S&P sector ETFs. The transportation index ended a five-day losing streak. The industrial SPDR got support at the 21-day exponential moving average.
Innovator IBD 50 ETF tumbled 3% but reversed higher and closed with a 1.5% gain. In the previous two days, the ETF sold off 4.3% and 5.2%. Thursday's bullish reversal was reminiscent of one on March 5, which began a rebound of nearly two weeks.
While the IBD 50 rose broadly, housing and construction stocks performed best. Lumber supplier Louisiana Pacific rebounded 6.5%, home furnishings retailer At Home Group jumped 5% and homebuilder MDC Holdings climbed more than 3%.
Scott's Miracle-Gro, Wednesday's IBD 50 Stock to Watch, rose about 2% and is quite close to the 238.91 buy point of a cup-with-handle base.
With the stock market still ailing, there were no clear breakouts Thursday.
Juan Carlos Arancibia is the Markets Editor of IBD and oversees our market coverage. Follow him at @IBD_jarancibia
