Stock indices hold up after weak open; Uniform Company bursts | Investor’s Business Daily

Major stock indices are trading higher on Monday afternoon, remaining flat and near the day’s highs.


The Nasdaq composite is up 0.5% so far while the S&P has gained 0.2%. The Dow Jones Industrial Average gained 0.4%. The Nasdaq 100 ETF tracked Invesco QQQ Trust (QQQ) led the pack, up 0.7%.

The iShares Russell 2000 small-cap (IWM) ETF is relatively unchanged, holding above the 200-day moving average for the second straight day. Swing Trader holds a partial position in IWM.

The SPDR Select Energy ETF (XLE) fell 2%, showing weakness in the group. Crude oil futures fell 3.3% to $89.11 a barrel.

Bitcoin futures slipped 0.2% but are still above the $24,000 level at $24,190.

Stock market gains strength after early losses

US markets have rebounded since the start of the trading day, after worse than expected economic data from China and the surprise rate cut negatively affected US markets.

The Empire State Manufacturing Index for August fell to -31.3, well below the consensus of 5.0. The index has only been positive for 3 months so far in 2022. The report brings together the results of around 200 manufacturing industry executives, comparing their outlook for the past six months with their outlook for the next six month.

Uniform company and food wholesaler

Cintas (CTAS) rose 0.9% on light volume and broke out of a double bottom base, reaching the buy point at 436.74. It is now trading in the 5% buy zone.

Cintas is a uniform and clothing rental and maintenance company, with a composite rating of 95 and an earnings per share rating of 92. Mutual funds added to their holdings in June, with 1,885 owners shares, compared to 1,801 in March.

Performance Food Group (PFGC) rose 2.7% and broke out of a cup-with-handle base on the MarketSmith weekly chart, reaching the buy point of 52.22.

The company is ranked No. 2 in the wholesale food group, which is 21st out of 197 industry groups tracked by IBD. Performance Group also has a bullish composite rating of 94.

Golar LNG (GLNG), a liquefied gas carrier, rose earlier in the session and broke from a cup base, hitting the buy point of 27.62. He is retired this afternoon.

Golar is ranked third in the oil and gas transportation industry, which is 15th in the IBD industry groups. The company released its second quarter interim results on August 11 and currently meets all nine IBD checklist criteria.

Modern (ARNM) rose 2.4% after the UK approved its Omicron-specific Covid-19 vaccine recall.

EV Maker on revenue despite lower forecast

In other stock market news, Chinese electric vehicle automaker Li-Auto (LI) rose 1.4% despite reporting missed second-quarter revenue and lower third-quarter delivery expectations. The shares are trading below the 21-day exponential moving average and the 50-day moving average.

green plains (GPRE), an ethanol and corn oil producer, fell 4.7% after a Bank of America downgrade and a price target increase to 43 from 40. Shares are in a base cut with a buy point of 44.37 on the MarketSmith chart.

Current stock market: IBD 50 shares are moving today

The Innovator IBD 50 ETF (FFTY), a proxy for growth stocks, fell 0.3%.

Siga Technologies (SIGA), a pharmaceutical company that produces a smallpox vaccine, rose 4.1% on lighter volume. The company said last week that the US government was exercising the option to acquire $26 million of the company’s monkeypox intravenous treatment. IBD 50 stock was featured in an article highlighting biotech stocks.

medical shock wave (SWAV), a medical device company, rose 2.7% on light volume. The company is ranked #2 in the medical systems/equipment group and earned a composite rating of 97.


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