Major indexes posted losses on Wednesday, closing off the day’s highs. The Dow Jones Industrial Average, S&P 500, and Nasdaq all ended in negative territory in the stock market today.
The Dow saw a slight dip of less than 0.1%, while the S&P 500 pulled back nearly 0.2%. The Nasdaq fell by almost 0.6%, closing below the 16,000 level, and the Russell 2000 gave back 0.8%. Volume fell on the New York Stock Exchange but rose on the Nasdaq compared to the same time on Tuesday, as per preliminary numbers.
The Invesco QQQ Trust (QQQ) exchange-traded fund sank by 0.5%, with the Innovator IBD 50 ETF (FFTY) underperforming and experiencing a 1.6% decline in the stock market today.
The 10-year Treasury yield dropped by 4 basis points to 4.27%. In economic news, the Commerce Department’s second reading for fourth-quarter gross domestic product showed a 3.2% increase, slightly below the estimated 3.3% on an annual basis. Personal consumption expenditures rose 3.0% compared to the estimated 2.8%.
Investors are eagerly awaiting Thursday’s January Personal Income and Spending report, with economists anticipating a slowing down of increases in the personal consumption expenditures index to 2.4% on a year-over-year basis. Core price gains are expected to ease to 2.8% from 2.9%.
Bitcoin surged beyond $60,000 on Wednesday, lifting related stocks in its wake. However, some crypto-related stocks experienced selloffs. CleanSpark (CLSK) tumbled nearly 13.5%, while Coinbase Global (COIN) closed 0.8% higher. MicroStrategy (MSTR) continued its upward momentum for a second straight day, hitting a high of over 1,000 before retracting.
Baidu (BIDU) saw a staggering 8.1% decline after reporting better-than-expected fourth-quarter earnings but lower sales. Conversely, IBD 50 stock ACM Research (ACMR) soared over 40% in huge volume after surpassing its fourth-quarter earnings and revenue estimates. EBay (EBAY) also spiked by 7.9% following strong fourth-quarter profit and sales forecasts.
Axon Enterprise (AXON) surged nearly 14% after topping fourth-quarter earnings and revenue views, resulting in a record-high share price. However, Dow Jones stock UnitedHealth Group (UNH) fell for the third consecutive day due to an antitrust investigation, ending as the worst performer on the Dow Wednesday.
In other news, Chemed (CHE) broke out of a flat base, Vipshop (VIPS) rallied by 12.6%, and AvidXchange (AVDX) soared 4.5%. Additionally, Beyond Meat (BYND) soared 30.7%, while Urban Outfitters (URBN) plummeted by 12.8%. Solar stocks like First Solar (FSLR) and Array Technologies (ARRY) showed mixed results while Lemonade (LMND) plummeted by 27.7%, triggering a sell signal.
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