The Dow Jones Industrial Average rose nearly 700 points on Monday morning after the House approved President Joe Biden’s $ 1.9 trillion stimulus project over the weekend.
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The Dow Jones industrials rose 2.2%, the S&P 500 rose 2.1% and the Nasdaq also advanced 2.1% on the stock market today. Small capitalizations monitored by Russell 2000 outperformed, 2.6% above. The volume was lower on both major exchanges compared to the same time on Friday.
On Saturday, the House passed Biden’s Covid-19 relief bill, which includes $ 1,400 stimulus checks for many Americans. The bill goes to the Senate now.
Technology stocks propelled Nasdaq to a 43.6% gain in 2020, its fifth best year ever. The S&P 500 was up 16.3% and the Dow was up 7.2% last year. Read The Big Picture for a detailed daily market analysis.
Covid-19 Update
The Covid-19 pandemic continues to cloud the US economy as national blockages approach the one-year mark. But there are signs of hope as vaccinations are launched and cases begin to stabilize in some states.
Overview of the US stock market today |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain / Loss | % Change |
| Dow Jones | (0DJIA) | 31623.85 | +691.48 | +2.24 |
| S&P 500 | (0S and P5) | 3897.00 | +85.85 | +2.25 |
| Nasdaq | (0NDQC) | 13508.41 | +316.07 | +2.40 |
| Russell 2000 | (IWM) | 225.00 | +6.69 | +3.06 |
| IBD 50 | (FFTY) | 47.47 | +1.81 | +3.96 |
Last updated: 11h18 ET 01/03/2021 |
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Cumulative cases of Covid-19 worldwide are approaching 115 million with more than 2.5 million deaths, according to the Worldometer. In the United States, cases have reached 29 million, with almost 526,000 deaths, although the number of new cases in the United States has declined dramatically in recent weeks.
On Saturday, Johnson & JohnsonThe vaccine against coronavirus (JNJ) became the third approved by the FDA for emergency use. Last Friday, an advisory panel recommended the approval of the single injection vaccine. J&J has pledged to supply 20 million doses this month and 100 million by the end of June.
J&J shares, up nearly 2% in high volume, are working on a new flat base with a buying point of 173.75, according to analysis by the MarketSmith chart. The new base started to be formed after a 10% advance from a previous flat base pattern.
Dow winners, no losers
Boeing (BA) shot up 6% in fast trades after testing support at its 50-day moving average on Friday. United airlines (UAL) said it has ordered 25 new Boeing 737 MAX jets. Boeing is in a 21-week consolidation with a purchase point of 244.18. Boeing’s shares are about 8% of the entry.
Among other blue chip winners, Chevron (CVX), Dow Inc. (DOW) and Intel (INTC) rose about 3% each. Apple (AAPL) and Disney (DIS) were among half a dozen Dow shares with an increase of more than 2% each.
Apple, up nearly 3% in heavy trade, is still below its 50-day line. The shares triggered the 7% -8% loss-of-sale rule on February 18, when they fell below a 138.89 buying point for a cup with a handle.
Disney, up 2.8%, is once again expanded from an 183.50 point purchase to a flat base. He had returned to the buying range during the past two sessions. Disney’s stock buying zone peaked at 192.68.
All 30 Dow shares have gone up.
Outside the Dow
Tesla (TSLA) rose almost 4%, on the way to stop a two-day drop. Last week, the electric vehicle giant fell below its 10-week moving average. The shares are about 22% below their January 25 high, but remain well extended from 466 purchase points for a cup with handle.
China rival Nio (NIO) rose 6% in turnover fast before its earnings due after closing. Analysts expect the EV maker to lose 6 cents per share on revenue of $ 1.02 billion. Nio’s shares are almost 30% below the January 11 peak, after a 17% drop last week.
Zoom Video (ZM), which also reports on Monday night, jumped 5% in heavy trade. The stock went back over its 50-day line after breaking support last week. Wall Street predicts that the online meeting platform will earn 79 cents a share, up 427% year-on-year. Revenue is expected to increase 331% to $ 811.7 million. The zoom stock is more than 30% off.
Bitcoin rebounded above the $ 48,000 level on Monday and was trading around $ 48,330, according to CoinDesk. Bitcoin’s price hit a record high on February 21, reaching $ 58,332.
The grayscale Bitcoin Trust (GBTC) fell 23.8% last week, but still remains above the 10-week support level.
Follow Nancy Gondo on Twitter at @IBD_NGondo
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