Dow Jones rises on surprise rise in jobless claims; GME stock plummets 22%

The Dow Jones Industrial Average reversed higher on Thursday after a surprise rise in the Labor Department’s weekly jobless claims. It came this way GameStop (GME) crashed after the company fired its CEO and appointed Ryan Cohen as CEO.


The latest round of initial jobless claims ahead of next week’s Federal Reserve interest rate meeting showed claims rising to 261k from 232k the previous week. A rise to 235,000 was expected, according to Econoday. Claims reached their highest level since October 2021.

Meanwhile, GME shares plunged 22% Thursday morning. Late Wednesday, GameStop CEO Matt Furlong fired and said loss per share fell to 14 cents while revenue fell to $1.34 billion.

Other key results reports include: smartsheet (SMAR) and toro (TTC).

Enterprise software company Smartsheet beat Wall Street’s targets for the fiscal first quarter but disappointed with its revenue outlook. SMAR stock plummeted 20% in early trade. Finally, Toro shares fell more than 4% after the earnings results were released.

stock market today

Electric vehicle giant Tesla, which has been up for nine straight days, was up more than 1% Thursday morning. Dow Jones tech giants Apple (AAPL) and Microsoft (MSFT) was trading slightly higher after the market open today.

Dexcom (DXCM), Fortinet (FTNT), Kinsale Capital (KNSL) and Taiwan Semiconductor (TSM) – as well as Dow Jones shares Cisco systems (CSCO), MC Donalds (MCD) and Foreclosure (CRM) – are among the best stocks to buy or watch when the stock market is up.

Tesla is an IBD leader, while McDonald’s was featured in this week’s Stocks Near A Buy Zone column.

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Dow Jones today: oil prices, government bond yields

After Thursday’s opening bell, the Dow Jones Industrial Average was up 0.2%, while the S&P 500 was up 0.15%. The tech-heavy Nasdaq Composite was slightly lower in morning trade.

Among U.S. exchange-traded funds, Nasdaq 100-tracker Invesco QQQ Trust (QQQ) was up 0.2%, while the SPDR S&P 500 ETF (SPY) was up slightly early Thursday.

The US 10-year Treasury yield fell to 3.77% on Thursday. On Wednesday, the 10-year yield extended its winning streak to four sessions, closing just below its late May highs.

US oil prices extended Thursday morning gains from Wednesday. West Texas Intermediate futures rose nearly 1% on Thursday, topping $73 a barrel.

stock market action

The Dow Jones Industrial Average rose 0.3% on Wednesday while the S&P 500 fell 0.4%. The tech-heavy Nasdaq Composite Index lost 1.3%.

Wednesday’s Big Picture column said: “Amid a confirmed uptrend in stock markets, you want indices to rise with higher volume compared to the previous session and fall with less volume. The case on Wednesday? It turned out to be a session of serious profit-taking by mutuals.” Funds, hedge funds, banks, pension plans and the like. Nasdaq volume was up 10%, while the NYSE reported a nearly 14% increase in sales compared to Tuesday.”

Now is an important time to read IBD’s The Big Picture column given the recent positive shift in the market outlook.

The five best Dow Jones stocks to buy and watch right now

Dow Jones Stocks To Buy And Watch: Cisco, McDonald’s, Salesforce

Dow Jones networking giant Cisco Systems is building a cup base with a buy point of 52.56. Be on the lookout for a potential handle that is only a few trading days away. That would show a previous entry. CSCO stock slipped slightly on Thursday.

Dow Jones restaurant giant McDonald’s has fallen below its 10-week moving average, a bearish sign. The stock has been trying to stay above the 281.67 buy point since breaking through two months ago. Profits are dwindling quickly.

Although the stock is near a buy point, its action suggests not to buy now. Watch for a more bullish recovery before considering buying stocks. MCD shares were trading up 0.2% early Thursday.

According to leaderboard analysis, Salesforce has surpassed the alternative entries at 193.91 and 200.00 for the past few weeks. Last week, shares entered 20% profit at an entry of 178.94 cups with Henkel, but are now falling back. The stock is preparing for a major test of its 50-day moving average. CRM stock slipped slightly on Thursday morning.

The 4 top growth stocks to watch stock market rally

Best stocks to buy and watch: Dexcom, Fortinet, Kinsale, TSMC

According to pattern recognition by IBD MarketSmith, Dexcom continues to form a flat base with a buy point of 126.44, even after Wednesday’s 4.5% decline. DXCM shares lost 0.4% on Thursday.

Insurance leader Kinsale Capital closed in the 5% buy zone above a 345.75 buy point on Wednesday. The buy zone extends to 363.04. KNSL shares fell slightly on Thursday.

Monday’s IBD stock, Fortinet, gave up the buy point of its flat base of 69.07 during Wednesday’s 3.6% decline. Shares rose nearly 1% on Thursday.

Chipmaker Taiwan Semiconductor rallied 0.5% on Wednesday to be range bound from a double bottom at 95.82 buy point. The 5% buy range extends to 100.72. TSM shares lost 1.6% Thursday morning.

Learn how to drive the market with IBD’s ETF market strategy

The best stocks to buy and watch as the stock market rallies

These are the top four stocks to buy and keep an eye on in today’s stock market, including a Dow Jones leader.

Company Name symbol Right buying point Type of purchase point
ASML (ASML) 683.18 Cup with handle
Foreclosure (CRM) 200.00 consolidation
cloud flare (NETWORK) 66.20 Double bottom
Fortinet (FTNT) 69.07 flat base
Source: IBD data as of June 6, 2023

Join IBD experts as they analyze leading stocks from the current stock market rally on IBD Live

Tesla stock

IBD leaderboard stock Tesla was up 1.5% on Wednesday, moving further out of the buy range above the double bottom buy point of 207.79. Shares closed 29% below their 52-week high on Wednesday.

Looking to continue its winning streak, TSLA stock was up 1.5% Thursday morning. Shares are targeting a fourth consecutive weekly rise.

Dow Jones leaders: Apple, Microsoft

Among Dow Jones stocks, Apple stock extended its losing streak to three sessions, shedding 0.8% on Wednesday. Shares hit an all-time high of 184.95 on Monday. The stock continues to hold well above a buy point of 157.38 and is outside the buy range that extended to 165.35. AAPL shares rose 0.4% in early trade on Thursday.

Microsoft shares fell 3.1% on Wednesday, closing at their lowest level since May 24. Earlier this week, MSFT stock entered 20%-25% profitability from a flat buy point at 276.76, allowing investors to at least take some profits there. As of Thursday morning, MSFT shares were up 0.4%.

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


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