Stocks lost some momentum at midday Monday, but the high-tech Nasdaq Composite was on track to snap its four-day losing streak, pulling away from other major averages.
During the afternoon session, the Dow Jones Industrial Average (^DJI) was down 0.2%, while the S&P 500 (^GSPC) was up about 0.4%. The Nasdaq (^IXIC) rose 1.2% after losing more than 2% last week. A bumpy August on Wall Street was determined in part by divergence in major indices. The Dow has led gains across the three major averages over the past month, with the Nasdaq and S&P just three winning days.
Bond yields rose. The yield on the benchmark 10-year Treasury note was hovering around 4.3%, near its highest level in more than a decade.
The moves come as the Federal Reserve’s interest rate campaign is once again poised to take center stage in an otherwise quiet week in the markets. Federal Reserve Chairman Jay Powell is scheduled to speak at an annual meeting of bankers in Jackson Hole, Wid., on Friday. Last week, concerns about the future path of the rallies helped drive the market’s losses.
On the earnings front, the big pick on Monday is Zoom (ZM). Come Wednesday, Wall Street will turn to Nvidia (NVDA), which is looking for a fresh start after its surprise guidance in the last quarter, driven by excitement around artificial intelligence technology. Nvidia stock is up more than 200% so far this year.
Here are some of the stocks topping Yahoo Finance’s Trend Indicators page in midday market trading on Monday:
nvidia (NVDA): Investors are watching the chipmaker closely ahead of higher-than-expected second-quarter earnings results Wednesday after shareholders were offered ownership in the company’s newly spun off consumer health unit, Kenvue. Johnson and Johnson will retain approximately a 10% stake in the new business.
Tesla (TSLA): The electric car maker gained 5% after Baird Equity Research added the stock to its “best ideas” list, citing the launch of the Cybertruck, broader adoption of self-driving features, and new markets as potential catalysts.
Palo Alto Networks (Banu): the Shares advanced more than 15% on the heels of a surprising earnings beat last week. The company that decided in early August to diverts Its earnings announcement after the bell on Friday saw shares drop nearly 20% as investors feared the move meant bad news was coming from the cybersecurity giant.
Johnson & Johnson (JNJ): Shares fell 2% Monday afternoon after it was reported that demand for a stock swap was higher than expected after shareholders were offered ownership in the company’s newly spun off consumer health unit, Kenvue. Johnson & Johnson will retain approximately a 10% stake in the new business.