Dow Jones futures were little changed late Wednesday, along with S&P 500 futures and Nasdaq futures. The stock market rally closed with slim gains on Wednesday, continuing the recent trend of minimal moves on the major indexes.
Wednesday was all about AMC Entertainment (AMC) and other meme stocks such as GameStop (GME), BlackBerry (BB), Bed Bath & Beyond (BBBY) and Koss Corp. (KOSS). AMC stock nearly doubled. GME stock, BB stock, BBBY stock and Koss all were up sharply. AMC stock and other meme stocks remained active overnight.
Meanwhile, Tesla stock tested key support on a variety of negative Tesla (TSLA) headlines, while Digital Turbine (APPS) reversed lower from key resistance following earnings. Both highlight the risks of buying old winners when they are in the early stages of a possible rebound from a sharp sell-off.
Buying meme stocks or former leaders trying to recover can be seductive, but it’s not the path to long-term stock market success.
NetApp, Smartsheet and Elastic topped estimates. Splunk and C3.ai beat on revenue but losses were wider than expected.
NTAP stock edged lower overnight. Elastic jumped and Smartsheet rose in extended trade while Splunk fell and AI stock tumbled. AI stock had rebounded somewhat in the past few weeks after crashing in the prior three months.
Dow Jones Futures Today
Dow Jones futures rose 0.1% vs. fair value. S&P 500 futures climbed 0.1% and Nasdaq 100 futures advanced 0.2%.
Coronavirus cases worldwide reached 172.39 million. Covid-19 deaths topped 3.70 million.
Coronavirus cases in the U.S. have hit 34.15 million, with deaths above 610,000.
Stock Market Rally
The stock market rally had a quiet session, with the major indexes never moving up or down much intraday.
The Dow Jones Industrial Average rose about 0.1% in Wednesday’s stock market trading. The S&P 500 index and Nasdaq composite edged up 0.1%. The small-cap Russell 2000 also climbed 0.1% after Tuesday’s strong 1.2% advance.
Among the best ETFs, the Innovator IBD 50 ETF (FFTY) dipped 0.1%, while the Innovator IBD Breakout Opportunities ETF (BOUT) rose 0.8%. The iShares Expanded Tech-Software Sector ETF (IGV) edged up about 0.1%. The VanEck Vectors Semiconductor ETF (SMH) gained 0.6%.
SPDR S&P Metals & Mining ETF (XME) retreated 1.5% and Global X U.S. Infrastructure Development ETF (PAVE) sank 1.2%. U.S. Global Jets ETF (JETS) advanced 0.3%. SPDR S&P Homebuilders ETF (XHB) sank 1.4%.
Reflecting more-speculative story stocks, ARK Innovation ETF (ARKK) was just above break-even and ARK Genomics ETF (ARKG) dipped 0.3%. Both are still below their 200-day lines. Tesla stock is the top holding across ARK Invest ETFs.
AMC stock skyrocketed 95% to 62.55, rising as high as 72.62…
Read More News: AMC, Meme Stocks Rule The Day, But Here ‘s The Winning Strategy