Dow Industrials Up, Nasdaq Falters Amid Geopolitical Uncertainties

Amidst geopolitical concerns, the stock market experienced subdued trading, with some early gains fading away. The Nasdaq Composite rose 0.3%, while the S&P 500 gained 0.3%. The Dow Jones Industrial Average followed suit, climbing 30 points or 0.1%, with Procter & Gamble and Goldman Sachs being notable performers. Tesla shares plunged over 4% after it cut prices and Elon Musk defended the move. Nvidia emerged as a bright spot, rising almost 3%, while bitcoin miner Riot Platforms surged over 105% after a bullish Wall Street call.

Stock Market Today: Dow Industrials Rise, Nasdaq Loses Momentum

Amidst geopolitical uncertainties, the stock market opened on an upbeat note on Monday, supported by the House of Representatives' passage of foreign aid packages for Israel, Taiwan, and Ukraine. The Senate is expected to approve the measures this week, easing some investor concerns.

The Nasdaq Composite initially gained ground but faltered throughout the session, closing with a modest 0.3% increase. PDD (PDD) outperformed, rising nearly 5%, while Latin American payment stock MercadoLibre (MELI) declined approximately 2%, extending its two-month downtrend.

The benchmark S&P 500 is on track for a six-day decline, despite a 0.3% gain on Monday. Ford Motor (F) exhibited resilience, surging approximately 5% and surpassing its 50-day moving average, according to MarketSurge analysis.

Sector performance in the S&P 500 was mixed, with technology and financial services recording the most substantial gains. Consumer durables and commodities lagged during Monday's trading.

Small-cap stocks, as measured by the Russell 2000 index, remained stable, gaining 0.2%, while growth stocks represented by the Innovator IBD 50 ETF (FFTY) held steady after retreating from session highs.

Dow Jones Industrials Fades, Salesforce Deal Collapses

The Dow Jones Industrial Average followed the major indexes by fading from early gains. Nevertheless, it ended the day slightly higher, gaining approximately 30 points or 0.1%.

Procter & Gamble (PG) and Goldman Sachs (GS) led the widely-watched index, rising over 1% each. Salesforce (CRM) initially gained but later pared its gains, closing up 0.5%. A report from The Wall Street Journal indicated that Salesforce has abandoned its planned acquisition of software vendor Informatica (INFA), which subsequently issued a sell signal after dipping below its 50-day moving average, marking a decline of around 9%.

Verizon Communications (VZ) was the Dow's biggest decliner, falling over 4% despite posting a profit increase. The company's revenue fell slightly below expectations, contributing to investor concerns.

Tesla Price Cuts Spark CEO Defense, Stock Loss

Shares of Tesla (TSLA) tumbled after the company announced price reductions for its electric vehicles in the US, China, and Europe, along with a reduced price for its Full Self-Driving feature.

Tesla CEO Elon Musk responded to the price cuts via social media, stating, "Other cars change prices constantly and often by wide margins through dealer increases and manufacturer/dealer incentives… Only a fool thinks that the ‘MSRP’ (manufacturer’s suggested retail price) is the real price."

According to MarketSurge, Tesla's stock fell over 4% and further declined relative to its 50-day moving average. The relative strength line is currently below the January 2023 low and at its lowest point since May 2020. Since the beginning of the year, Tesla's stock has lost more than 43%. Tesla's earnings report is scheduled to be released on Tuesday.

Nvidia Shines as Magnificent Seven Weathers Setback

The "Magnificent Seven" technology giants exhibited a mixed performance after last week's downturn. Nvidia (NVDA) emerged as the top performer, rising almost 3%. However, it remains below its 50-day mark. Google parent Alphabet (GOOGL) followed with a gain of close to 1%. Amazon (AMZN) and Apple (AAPL) also posted gains, rising less than 1%.

Meta Platforms (META) and Microsoft (MSFT), both scheduled to report earnings later this week, gave up their early gains.

Bitcoin Miner Riot Platforms Spikes on Analyst Call

Riot Platforms (RIOT) surged over 105% in Monday's trading after receiving a bullish call from Wall Street analysts. The bitcoin miner's stock price rose despite the cryptocurrency recently halving its reward for mining bitcoin to a block reward of 3,125 bitcoin.

Despite its sharp rise, Riot's shares remain below their 50-day and 200-day moving averages. Bitcoin has gained 1.5% on Monday, trading at just over $66,000 per token. Among other bitcoin-related stocks, Coinbase Global (COIN) rose nearly 4%, while the ARK 21Shares Bitcoin ETF (ARKB) gained close to 3%. However, cryptocurrency miner Marathon Digital (MARA) declined approximately 5%.

Stocks to Watch as Market Fluctuates

Despite ongoing market volatility, investors can identify stocks that are approaching buy points and are suitable for watchlists.

Aerospace company Heico (HEI) maintained relative strength, trading near a flat-base buy point of 200.64. This represents a first-stage foundation, increasing the likelihood of substantial gains.

Energy provider Cactus (WHD) has formed a first-stage cup-with-handle base pattern, with an ideal buy point at 53.09. The company's strong performance is reflected in its IBD Composite Rating of 94.

Waste collection services company Republic Services (RSG) is approaching a flat-base entry point of 192.57. This is a mid-stage pattern, and the relative strength line has recently reached a new high.

Republic Services has the highest possible composite rating, and its accumulation/distribution rating of B+ indicates recent institutional buying. The company's next earnings report is anticipated on April 30 and could serve as a potential catalyst for further stock movement.