Dow rises on Tesla Pops inflation data as Elon Musk issues warning; Apple shares rise

The Dow Jones Industrial Average rose as stocks rose amid encouraging inflation data. Tesla (TSLA) even as CEO Elon Musk issued a warning about high-octane growth stocks. apple (AAPL) raced higher and Microsoft (MSFT) was another winner.

In the meantime, three of the stocks tested the buying points amid the positive action: the leaderboard stock Eli Lilly (LLY), cabot (CBT) And the Diamondback Energy (fang).

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Volume was mixed, rising on the Nasdaq but down on the New York Stock Exchange against the same time on Thursday.

The yield on the benchmark 10-year Treasury fell 2 basis points to 2.74%. West Texas Intermediate crude rose again and was trading around $115 a barrel.

Positive inflation data helped stocks end the week higher. Core personal consumption expenditures – the Fed’s preferred indicator of inflation – rose 4.9% in April, slower than the 5.2% increase in March. This raises hopes that price increases can slow.

NASDAQ leads to like in lowercase

The Nasdaq was in the lead as it benefited from a rebound in technology stocks. It gained about 2.5%. cyber security play Zscaler (ZS) was one of the top performers, up about 12%.

The S&P 500 was also bright, up about 2%. Ulta Beauty (Ulta) The star was here, making 10% great profits and providing better guidance than expected.

Syrian Pound All sectors were moving higher. Technology and real estate were the best gains. Defensive consumer goods zones were appearing in the rear.

Small cap investors were pissed off because they got bears in blood, with the Russell 2000 index showing around 2%.

Growth stocks also participated in the rise. The Innovator IBD 50 ETF (fifty), which is a leader in stock growth, at more than 1.8%.

Dow Jones Today: Apple Stock, Microsoft Excel

The Dow Jones Industrial Average was the weakest among the major indexes but still gained more than 300 points. It was above 1%.

Apple’s stock was helping lift the blue-chip index. The giant iPhone was the best performer as it rose more than 3%.

AAPL stock is still below its major moving averages but is on the verge of reclaiming the 21-day streak, According to MarketSmith.

Microsoft was another noteworthy performer. The software giant rose more than 2% as major tech stocks attempted to rally from recent lows.

MSFT is above the 21-day exponential moving average, which is encouraging. But the movement coming at low volume is a drawback.

Not all of the major technical names are boosting the Dow Jones today. space giant Boeing (BA) is up nearly 3% and is on track to end the week with gains of over 8%.

Tesla jumps as Elon Musk warns of growth

The Tesla stock is another darling of developing stock investors who are back on Earth with a bump.

But EV stock was also showing impressive strength on Friday as it appeared nearly 6% in above-average volume.

However, it has miles to go before it comes close to hitting the current Phase 1 consolidation pattern at 1,208.10, MarketSmith analysis shows.

Aggressive investors can look forward to the stock reclaiming its 50-day moving average, but TSLA is also around 18% below that level.

Tesla stock was making rapid progress despite CEO Elon Musk’s warning about high-octane growth stocks.

“Companies with inherently negative cash flow (i.e. value destroyers) have to die, in order to stop consuming resources,” Musk said in a tweet.

Some users protested that Tesla itself generated negative cash flow for a long time. However, earnings-recognizing losers took a heavy hit in 2022.

Cathie Wood’s Ark Innovation ETF (see you) is down about 54% for the year, although it gained nearly 5% on Friday.

He also predicted that “based on past experience”, any possible recession could last “for about 12 to 18 months.”

Outside the Dow: 3 stocks tested for buying points

While stocks are rising, investors should remain cautious for the time being. Taking smaller demo positions may be a good way to gain exposure to the market while keeping risk at a manageable level.

Eli Lilly broke his point of buying it from a flat base. The perfect entry here is 314.10.

Pharmaceuticals stock is back above its moving averages and continues to resist overall market weakness. Big Money has been grabbing stock lately, with Accumulation Distribution Classification Coming in B.

Eli Lilly is currently a member of Prestigious IBD Leaderboard’s Top Stock List.

Cabot is also executable after breaking the consolidation pattern. The buy point here is 74.97.

The overall performance is very solid, although the EPS rating of 69 out of 99 isn’t perfect.

Diamondback Energy also made its way into the buying zone after surpassing a consolidated entry at 148.09.

Oil and gas manipulations have seen the RSI line reach new highs, which is a bullish signal. Currently sitting on Sector Leaders ListThe most powerful and rigorous IBD monitor.

Please follow Michael Larkin on Twitter at Tweet embed Learn more about growth stocks and analysis.

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