A big drop in Tesla stock weighed on the Nasdaq early Monday, but the technology index turned positive in afternoon trading after falling nearly 0.6% intraday. Financial stocks outperformed amid a surge in the 10-year Treasury yield.
Tesla (TSLA) was the worst performer in the Nasdaq 100, but Hasbro (HAS) was the top percentage gainer in the index, up 13%, thanks to a big earnings beat.
JPMorgan (JPM) led the Dow Jones industrial average, up 2.5%. Financials took their cue from the 10-year Treasury yield, which soared 6 basis points to 2.96%. Dow components Microsoft (MSFT), American Express (AXP) and Goldman Sachs (GS) showed gains of more than 1%.
In afternoon trading, the Dow Jones industrial average was mostly flat. The Nasdaq composite added 0.3% and the S&P 500 picked up 0.2%. The Russell 2000 small-cap index also rose 0.2%
Inside the IBD 50, SVB Financial (SIVB) rallied with other financial stocks. Shares were up 2% to 315.50 in light volume. A later-stage flat base shows a 329.75 entry.
Also in the regional bank group, Northern Trust (NTRS)jumped 4% to 111.01. It topped a 110.91 buy point. SunTrust (STI) added 2.5% to 72.61 as it works on a flat base with a 73.47 entry.
Tesla Stock Down Sharply
In stock market results today, Tesla (TSLA) slumped nearly 4% on renewed concerns about its financial health.
A report in The Wall Street Journal said the electric carmaker asked suppliers for refunds to help it become profitable. Last week, Needham downgraded shares to sell, citing the expiration of federal tax credits, continued cash burn and an unsustainable capital structure.
Marketsmith Growth 250 name Boot Barn (BOOT) picked up 2% to 24.93 as it continues work on the right side of a cup-shaped base. The buy point for now is 26.35.
Biogen (BIIB) slipped 0.5% to 356.72 ahead of its earnings report Tuesday before the open. It was featured as a possible call-option trade in the latest Earnings Preview column.
The stock has been holding gains smartly after shares soared on July 6. The catalyst was positive trial data for an Alzheimer’s drug. The cup-with-handle buy point is 367.99.
After the close, watch for earnings from Google parent Alphabet (GOOGL). Shares were up 0.9% to 1,209, just above a 1,201.59 handle entry.