Dow Jones leads Nasdaq, S&P 500 as major averages bounce around

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The stock market is slightly higher for the moment Tuesday, but trading is very choppy and leadership keeps changing hands.

The Dow (DJI) +0.4%, up 120 to 31,294, is being helped by a price gain in Boeing. The S&P (SP500) +0.1%, up 4 to 3,858, and the Nasdaq (COMP.IND), +0.1%, up 16 to 11,388, are slightly in the green.

Seven of 11 S&P sectors are higher with Financials at the top despite a drop in rates. Energy is the weakest, with crude down 6%.

Info Tech has turned red as cloud names drop following a tumble in ServiceNow.

“As the market continues to digest macro cross-currents and sector/factor unwinds, the unfilled gap (for the S&P 500) at 4,017 still stands out,” BTIG said. “Should we get a rally to fill that gap, or even a move above that towards 4,100, we would likely view that as an opportunity to reduce risk ahead of a break lower later this summer.”

The 10-year Treasury yield is down 6 basis points to 2.92%. The 2-year yield is down 4 basis points to 3.02%.

There were no market-moving economic indicators for a second day in a row.

“The US CPI report will be the main highlight tomorrow, but we shouldn’t forget the start of the Q2 earnings season either, which will shed some light on how corporates are faring as the market narrative has flirted with the view that the US economy might already be in a recession,” Deutsche Bank’s Jim Reid said.

Wells Fargo says the market is biases toward a risk rally if CPI is benign.

The U.S. dollar is slightly higher again, weighing on commodities. And it touched parity with the euro for the first time since 2002.

“There is nothing economically significant about EUR/USD reaching parity,” Deutsche’s George Saravelos said. “However, the psychological impact is clearly important and investors are going to be very focused on market technicals, flows and liquidity as and if we break the level.”

Among active stocks, airlines dominate the S&P gainers list as oil prices tumble, while cruise line stocks are also strong. American Airlines issued guidance today, while Southwest garnered some positive commentary from Susquehanna in its sweep of airline stocks.