Dow Jones Futures Dives 600 Points As Treasure Leases; Bitcoin drops below $24,000

Dow Jones futures were down more than 600 points on Monday morning, chasing technology issues as the market moved to extend losses from Friday’s stock market sell-off. Bitcoin dropped below $24,000 as the 10-year Treasury yield rose to more new highs. And the S&P 500 was slated to open in bear market territory.


Electric vehicle giant Tesla (TSLA) slipped 4% on Monday. Elsewhere, technology leaders at Dow Jones Litter (AAPL) and Microsoft (MSFT) were down 3% and 2.5%, respectively, ahead of today’s stock market open.

Amid a new stock market correction, Dow Jones leaders chevron (CVX), Merck (MRK) and travelers (TRV) — together with emphasis energy (ENPH), Murphy’s oil (WALL), Northrop Grumman (NOC) and ultra beauty (ULTA) — are among the main IBD actions to watch on Monday.

Enphase is an IBD Leaderboard action. Ulta was featured in last week’s IBD Stock Analysis column.

Dow Jones Today: Treasury Yields, Oil Prices, Bitcoin

Ahead of Monday’s open, Dow Jones futures were down 2% from fair value, and S&P 500 futures lost 2.3%. Nasdaq 100 futures were down 2.8%. Keep in mind that trading in Dow Jones futures and elsewhere does not necessarily translate into actual trading in the next regular session of the stock market.

Among exchange-traded funds, the Nasdaq 100 tracker Invesco QQQ Trust (QQQ) is down 3.1%. The SPDR S&P 500 ETF (SPY) lost 2.4% in early trading.

Stocks across Asia closed on heavy losses as global markets reacted to Friday’s US inflation data. Europe’s major benchmarks traded with losses in the 2% range just after midday on Monday.

The 10-year Treasury yield rose to 3.25% on Monday morning, hitting another new high after Friday’s close at 3.15%. Meanwhile, US oil prices are down nearly 2%, with West Texas Intermediate trading around $118 a barrel. In early March, WTI briefly hit above $130 a barrel.

Bitcoin price dropped 18% over the weekend. After ending Friday around $29,000, Bitcoin traded around $23,500 early in the morning, according to CoinDesk, its lowest since December 2020. The ProShares Bitcoin Strategy ETF ( BITO) was down 18% on Monday morning.

Stock market settlement

The stock market was short on Friday, with the major stock indices ending with hefty losses, ending the week lower.

Friday’s Big Picture column commented, “Moves were heavily slanted to the downside. The Nasdaq was the worst-hit index, down 3.5%. Its weekly loss came in at 5.6%, sending it back to year lows”.

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Five Dow Jones Stocks to Watch Now

Dow Jones Stocks to Watch: Chevron, Merck, Travelers

Leading Dow Jones and energy giant Chevron remains above the 174.86 buy point from a flat base, according to IBD MarketSmith chart analysis, even after Friday’s 1.2% decline. The 5% buy zone reaches 183.60. CVX shares fell 2.5% on Monday.

CVX stock has a composite rating of a perfect 99 IBD, according to the IBD Stock Checkup. Investors can use the IBD Composite Rating to easily assess the quality of a stock’s fundamental and technical metrics.

Merck, a stock of both the Dow Jones and the IBD Big Cap 20, fell further below the 89.58 buy point of the handle cup on Friday, with the shares down another 0.9%. The stock has also given up support around its 50-day key line, which is an important sell signal. MRK shares were up nearly 1% on Monday morning.

Insurance giant Travelers continues to build a flat base with a purchase point of 188.08. Stocks are still below the 50-day line after falling 2.5% on Friday. Travelers shares traded lower on Monday.

Top Five Growth Actions to Watch on CurrStock Market Correction

Actions to watch out for: Enphase, Murphy, Northrop, Ulta

IBD Leaderboard shares, Enphase Energy, are still above the 193 point buy point double bottom even after a third straight decline on Friday, according to IBD MarketSmith chart analysis. Enphase shares were down 4.4% on Monday morning.

Murphy Oil is trading just below the buy point of 44.73 on a basis of cups after Friday’s 1.95% loss. Shares were down 3% on Monday morning.

Northrop Grumman found much-needed support at its 50-day moving average on Friday, but remains about 3% below the handle cup’s 477.36 buy point. NOC shares were down 1.3% on Monday morning.

Ulta Beauty’s recent breakout continues to struggle after Friday’s 3.5% loss. Still, stocks are trying to hold during the new stock market correction. Ulta stock is about 4% off a cup with the 426.93 buy point of the handle. ULTA shares were down nearly 2% on Monday.

Join the experts at IBD as they analyze key stocks in the current stock market correction on IBD Live

Tesla stock

Tesla shares fell 3.1% on Friday, adding to a 0.9% decline on Thursday. Stocks threatened to add to those losses, trading more than 4% lower on Monday morning. Earlier Monday, RBC Capital updated the performance sector EV giant to surpass with a price target of 1,100.

The stock is still well below its 50- and 200-day moving averages. Tesla shares traded at 1,243.49 on Nov. Stocks are about 44% below that record.

Dow Jones Leaders: Apple, Microsoft

Among Dow Jones shares, Apple shares fell 3.9% on Friday and are close to their recent lows. The stock remains far below its long-term 200-day line and is about 25% below its 52-week high. AAPL shares fell 3.3% on Monday.

Software leader Microsoft lost 4.5% on Friday and remains well below its 50-day and 200-day lines. Stocks closed about 28% below their 52-week high. MSFT shares fell 2.7% on Monday.

Be sure to follow Scott Lehtonen on Twitter at @IBD_SLehtonen for more information on growth stocks and the Dow Jones Industrial Average.


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