The stock market rebounded into the close Friday, as the Nasdaq composite and S&P 500 made record highs.
The Nasdaq at one point erased gains and was down 0.2%. It closed 1% higher. Invesco QQQ Trust (QQQ), which tracks the Nasdaq 100, led with a 1.3% increase. Tesla (TSLA), now one of the largest stocks on the Nasdaq, accounted for some of that outperformance after the electric-vehicle maker jumped nearly 8% to a new high.
The S&P 500 added nearly 0.6%. The Dow Jones Industrial Average rose 0.2%. Indexes closed near session highs, capping a solid rebound.
But small caps lagged as the Russell 2000 fell 0.4% at the closing bell. Still, the small-cap benchmark is starting off the year on the right foot, up nearly 6% the first week of 2021.
U.S. Stock Market Today Overview
Last Update: 4:08 PM ET 1/8/2021
Stocks started fading after Sen. Joe Manchin of West Virginia rejected another round of $2,000 stimulus checks. But reports said Manchin later clarified his remarks and is undecided on future stimulus. That statement appeared to help the market bounce back.
The S&P 500 rose 1.8% for the week and the Nasdaq 2.4% — a good start to the year.
Innovator IBD 50 ETF (FFTY) rose along with the main indexes, making a 1.1% increase. But the FFTY is starting the year lagging the broad market. For the week, the ETF rose 4.6% and closed well off the week’s highs.
Futu Holdings (FUTU) surged to a new high and extended gains from the 51.20 buy point of Tuesday’s breakout. Vipshop (VIPS) has now climbed more than 20% from the 24.56 buy point, so investors can take at least some profits.
Also in the IBD 50, Pacira BioSciences (PCRX) bolstered Thursday’s breakout with a gain of 3.7%. The biotech is still in buy range from a 68.18 buy point.
Dick’s Sporting Goods (DKS) cleared the 63.39 buy point of a cuplike base. The stock closed above the entry, but volume was well below average. Diabetes care company Insulet (PODD) broke out of a cup-with-handle base but volume was weak.
Juan Carlos Arancibia is the Markets Editor of IBD and oversees our market coverage. Follow him at @IBD_jarancibia
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