Wednesday’s trading session saw minimal gains for the major indexes, with Tesla (TSLA) shining as it continued its rally. The Dow Jones Industrial Average, S&P 500, and Nasdaq posted increases of less than 0.2% each, while the Russell 2000 outpaced them all with a 0.6% gain.
The Nasdaq remained above the 18,000 mark while the S&P 500 closed above 5,500 for the first time. The Innovator IBD 50 ETF saw a 0.4% increase, positioning itself below the 21-day moving average but above the 50-day moving average.
While volume was higher on the Nasdaq, it was lower on the New York Stock Exchange due to the upcoming July 4 holiday. The 10-year Treasury yield dropped by 7 basis points, while crude oil prices rose to $83.20 a barrel.
The ADP Employment report showed a slower-than-expected increase in private payrolls for June, signaling a potential slow down in the job market. Initial jobless claims also exceeded expectations, but the market anticipates nonfarm payrolls to rise in June.
Tesla saw a 4% gain after a double-digit jump on Tuesday, driven by strong delivery numbers in the second quarter. Analysts raised price targets for the stock, contributing to its ongoing rally. However, Cathie Wood of Ark Invest sold Tesla shares and purchased shares of drone maker Archer Aviation.
Paramount Global stock surged on news of a potential acquisition, while Constellation Brands and Reddit faced mixed trading sessions. Nvidia pulled back slightly but maintained support at its 21-day moving average.
Overall, the stock market exhibited mixed signals with fluctuations in various sectors, emphasizing the importance of careful analysis and monitoring of market trends.
