Dow Jones Dives 400 Points On Strong Jobs Data; Silvergate Crashes On $8.1 Billion In Withdrawals

The Dow Jones Industrial Average fell more than 400 points on Thursday after the better-than-expected ADP jobs report. Meanwhile, the December jobs report is scheduled for Friday morning.


Focused on cryptocurrencies silvergate capital (SI) plunged 46% Thursday morning after banks were forced to sell assets to cover about $8.1 billion in withdrawals during the collapse of crypto exchange FTX. The bank also laid off his 40% of its workforce, or about 200 employees. Finally, the company dropped plans to launch its own digital currency.

The ADP’s national jobs report for December, a precursor to Friday’s jobs report, showed growth of 235,000, well above the expected increase of 145,000. Meanwhile, the Labor Department’s first-time unemployment claims plummeted to 204,000 from 225,000 the week before.

Finally, the Services Buyers Index for December was slightly higher than expected, still in contraction mode, with a reading of 45.0 and an estimate of 44.4. The Institute for Supply Management’s December Service Index will be released on Friday.

In terms of earnings, companies that reported on Thursday morning included: Conagra (CAG), constellation brands (STZ) and Dow Jones Stocks walgreens boots alliance (WBA).

Conagra shares were up about 2% in morning trading, while Constellation Brands was down 3%. Walgreens’ stock also fell more than 4% of his, pushing the Dow down despite posting better-than-expected earnings and sales.

Amazon (AMZN) stock rose slightly after the company announced plans to lay off more than 18,000 employees.leader in electric vehicles Tesla (TSLA) fell 4.6% on Thursday.Dow Jones Tech Giant apple (AAPL) and microsoft (MSFT) rose and fell after the stock market opened today.

cardinal health (CAH), deer (from), medpace (MEDP) and IBD Leaderboard Stocks neurosecretory bioscience (NBIX) — similar to Dow Jones name caterpillar (Cat), chevron (CVX) and walmart (WMT) — One of the top stocks to consider on an investor’s watchlist. Bear in mind that continued market weakness should keep investors on the sidelines.

Neurocrine is an IBD Leaderboard stock. Caterpillar and Medpace were his recent IBD Stock Of The Day companies. Cardinal Health was also featured in last week’s “Stocks Close to the Buy Zone” column.

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Dow Jones Today: Oil Prices, US Treasury Yields

After Thursday’s opening bell, the Dow Jones Industrial Average fell 1.2% relative to its fair value. The S&P 500 is down his 1.3%. Tech-heavy Nasdaq fell 1.5% in morning trading.

Among US exchange-traded funds, Nasdaq 100 tracker Invesco QQQ Trust (QQQ) fell 1.5%, while the SPDR S&P 500 ETF (SPY) fell 1.3% early Thursday morning.

10-year Treasury yields climbed to 3.76% Thursday morning after strong jobs data, trying to halt a two-day losing streak that saw 10-year yields drop sharply.

Meanwhile, oil prices rebounded on Thursday morning after falling sharply for two days in a row. West Texas Intermediate futures are trading above $74 a barrel, he rose more than 2%.

stock market fix

On Wednesday, the Nasdaq Composite was up 0.7% while the S&P 500 was up 0.75%. The Dow Jones Industrial Average followed up with a modest gain of 0.4%.

The Big Picture column on Wednesday commented: “Wednesday’s rally does not change the outlook for equities, as seen in the Market Pulse table. This means that buying equities is still very risky. However, Forget the most ambitious 2023 resolutions for now, rather today is the perfect time to track leadership across sectors, industry groups and individual stocks.”

5 Dow Jones stocks to watch right now

Dow Jones Stocks to Watch: Caterpillar, Chevron, Walmart

Dow Jones member Caterpillar regained 239.95 buy points on a flat basis on Wednesday’s 1% gain. By IBD MarketSmith pattern recognition. The buy zone moves up to 251.95. Stocks fell on Thursday.

CAT Stock scores a strong 98 out of a perfect 99 IBD Composite Rating, according to the IBD Stock Checkup.The Composite Rating is designed to make it easier for investors to find top growth stocks. .

Energy giant Chevron continued its decline this week, dropping another 1.1% on Wednesday. Despite the loss, the stock is building a cup base with 189.78 buy points. CVX shares rallied on oil prices as he rose 0.7% on Thursday morning.

Discount retailer Walmart makes cups with handles for 154.74 points. However, the stock is below his 50-day line after a sharp decline in recent weeks. Walmart stock fell Thursday morning.

4 top growth stocks to watch right nowrent stock market correction

Top Stocks to Watch: Cardinal Health, Deere, Medpace, Neurocrine

Recent IBD Stock Of The Day, Cardinal Health, posted a six-day losing streak on Wednesday, but is still below the 50-day line. CAH stocks were unchanged on Thursday.

Deere, the recent IBD Stock Of The Day, is building a flat base at the 448.50 by point as he tries to find support near the 50-day line. DE shares traded flat on Thursday morning.

Medpace finally gave up support on the 50-day line this week. This shows that healthcare industry leaders need more time to consolidate. For now the correct buy point remains at 235.82, but the previous entry at 220.09 is also valid. MEDP inventory was inactive Thursday.

IBD leaderboard stock Neurocrine Biosciences rebounds from 50-day line support. A flat base is nearing formation and could do so this week. If it closes, the flat base shows a buy point at 129.39 and early entry at 122.93. NBIX shares remain unchanged.

Stocks to watch in the ongoing stock market Correction

These are the top six stocks to watch in today’s stock market, including three Dow Jones leaders.

company name symbol correct purchase point Base type
cardinal health (CAH) 81.67 flat base
deer (from) 448.50 flat base
caterpillar (Cat) 239.95 flat base
chevron (CVX) 189.78 cup base
walmart (WMT) 154.74 cup with handle
Source: IBD data as of 5 January 2023

Join IBD experts as they analyze key stocks in the current stock market adjustment on IBD Live

tesla stock

Tesla shares rose more than 5% on Wednesday, reversing some of Tuesday’s plunge. This week, the stock reached his 52-week low of 104.64, about 72% away from its 52-week high.

Stocks threatened to give up Wednesday’s gains and fell more than 4.5% Thursday morning.

Dow Jones Leaders: Apple, Microsoft

Among the Dow Jones stocks, Apple shares rose 1% on Wednesday and rebounded after hitting a 52-week low of 124.17 on Tuesday. The stock is down more than 30% from his 52-week high. The stock rose 0.3% on Thursday morning.

Microsoft shares fell 4.4% on Wednesday to close at their lowest level since November 9 after analysts downgraded the company. MSFT shares fell 1.4% in the early hours of Thursday.

Follow Scott Lehtonen on Twitter. @IBD_SLehtonen Learn more about growth stocks and the Dow Jones Industrial Average here.

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