Dow Jones futures rose slightly overnight, along with S&P 500 futures and Nasdaq futures. The CPI inflation report looms Wednesday, along with key reports from Delta Air Lines (DAL) and Nvidia chipmaker Taiwan Semiconductor (TSM).
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The stock market rally generally edged higher Tuesday, with investors wary of big moves ahead of the CPI inflation report. Breadth was positive, but a number of leaders came under pressure.
Nvidia (NVDA) undercut recent lows Tuesday but also found key support. That came as Google parent Alphabet (GOOGL) announced a new in-house AI processor using Arm Holdings (ARM) designs, easing its dependence on Nvidia chips. Intel (INTC) also unveiled an AI chip to take on Nvidia. Google stock rose further into a buy zone. ARM stock initially bounced but reversed lower. Intel edged up after setting fresh 2024 lows.
Tesla (TSLA) extended gains on Elon Musk touting robotaxis. Tesla stock is coming up to key resistance.
Nvidia and ARM stock are on IBD Leaderboard. Arm Holdings and Nvidia stock are on the IBD 50. Nvidia stock is on the IBD Big Cap 20.
The video embedded in this article reviewed Tuesday’s market action and analyzed Nvidia stock, Royal Caribbean (RCL) and Nutanix (NTNX)
CPI Inflation Report
The Labor Department will release the consumer price index at 8:30 a.m. ET. Consumer prices are expected to rise 0.3%, along with CPI excluding food and energy.
Overall CPI inflation vs. a year earlier should rise 3.5%, picking up 3.2% from in February. Core CPI inflation is seen dipping to 3.7% from 3.8%.
Fed minutes for the March meeting will be released at 2 p.m. ET.
The March producer price index will be out Thursday morning.
These key economic reports come as the odds for a Fed rate cut in June have turned into a tossup.
Dow Jones Futures Today
Dow Jones futures rose 0.1% vs. fair value. S&P 500 futures and Nasdaq 100 futures climbed 0.1%.
The CPI inflation report will be sure to swing Dow Jones futures and Treasury yields.
Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.
Join IBD experts as they analyze leading stocks and the market on IBD Live
Stock Market Rally
The stock market rally had a quiet session Tuesday, but the key indexes improved from slightly lower to flat or slightly higher.
The Dow Jones Industrial Average closed fractionally lower in Tuesday’s stock market trading. Meanwhile, the S&P 500 index climbed 0.1%. The Nasdaq composite rose 0.3%. The small-cap Russell 2000 also advanced 0.3%.
While the major indexes had a relatively quiet day, and winners outpaced losers, a number of leaders were hit, and not just Nvidia.
Royal Caribbean stock tumbled 3.7%, back below a buy point. Deckers Outdoor (DECK) sank 2.4%, closing below the 50-day line for the first time since late October. Cava Group (CAVA) caved 7.2% to its first 10-week line test of 2024.
But there were also a number of stocks that held up well or advanced.
U.S. crude oil prices fell 1.4% to $85.23 a barrel.
The 10-year Treasury yield fell six basis points to 4.365%.
ETFs
Among growth ETFs, the iShares Expanded Tech-Software Sector ETF (IGV) climbed 0.3%. The VanEck Vectors Semiconductor ETF (SMH) climbed 0.5%. Nvidia stock is the biggest SMH holding by far, with Taiwan Semiconductor also a big member. Intel also is in SMH.
Reflecting more-speculative story stocks, ARK Innovation ETF (ARKK) and ARK Genomics ETF (ARKG) both gained 1.1%. Tesla stock is a huge holding across Ark Invest’s ETFs.
SPDR S&P Metals & Mining ETF (XME) rose 1.1% and the Global X U.S. Infrastructure Development ETF (PAVE) fell 0.5%. U.S. Global Jets ETF (JETS) ascended 0.5%. SPDR S&P Homebuilders ETF (XHB) edged down 0.1%. The Energy Select SPDR ETF (XLE) closed fractionally higher and the Health Care Select Sector SPDR Fund (XLV) advanced 0.4%
The Industrial Select Sector SPDR Fund (XLI) dipped 0.2%. And the Financial Select SPDR ETF (
This article was originally published by a www.investors.com . Read the Original article here. .