Dow Jones futures tilted lower Wednesday morning, while S&P 500 futures and Nasdaq futures rose slightly, as weak Chinese economic data offset a late boost from a Microsoft stock buyback. The stock market rally on Tuesday once again opened higher but then faded, continuing a recent bearish trend. Apple (AAPL) fell as it unveiled the iPhone 13 and other new products.
Microsoft (MSFT) late Tuesday hiked its quarterly dividend by 11% to 62 cents a share. The tech giant also announced a $60 billion Microsoft stock buyback program. MSFT stock rose slightly in premarket trade, signaling a possible early entry.
Tech giants and chip stocks are holding up reasonably well. MSFT stock, Applied Materials (AMAT), Entegris (ENTG), KLA Corp. (KLAC) and Advanced Micro Devices (AMD) are worth watching. Microsoft, Applied Materials and AMD stock are trying to bounce from their 50-day or 10-week lines. ENTG stock and KLA cleared buy points, at least intraday, after flashing early entries previously.
But investors primarily should be watching, not buying, intriguing stocks as the market rally pulls back.
Microsoft and Apple stock are on IBD Leaderboard. MSFT stock is on IBD Long-Term Leaders. AMAT stock was Tuesday’s IBD Stock Of The Day. ENTG stock was Friday’s Stock Of The Day.
The video embedded in this article analyzed the market action and reviewed Deckers Outdoor (DECK), Microsoft and AMD stock.
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Dow Jones Futures Today
Dow Jones futures were slightly below fair value. S&P 500 futures rose 0.1% and Nasdaq 100 futures climbed 0.2%.
Microsoft is offering a slim lift the Dow Jones, S&P 500 and Nasdaq composite, but weak Chinese economic reports are a drag.
Chinese retail sales rose just 2.5% vs. a year earlier, far below estimates of 7% and July’s 8.5%. Industrial output climbed 5.3%, missing views for 5.8% and slowing from July’s 6.4%. Home prices and fixed asset investment also fell short of views. China’s economy has come under pressure amid Beijing’s crackdown vs. private enterprise and lockdowns in response to various …….