Stock market: Dow Jones on path for 40,000 benchmark

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The three major stock market averages (^DJI, ^IXIC, ^GSPC) generally open higher to start Thursday’s session: the S&P 500 floats above its record-high of 5,300 achieved yesterday as the Dow Jones Industrial Average has set its sights on breaching 40,000, and the Nasdaq Composite teeters back and forth between its flatline

Morning Brief Anchors Seana Smith and Brad Smith monitor the three indexes at the market open, while Senior Markets Reporter Jared Blikre breaks down activity in the Wilshire 5000 index, overall market volatility, and trends in the recent meme stock craze.

For more expert insight and the latest market action, click here to watch this full episode of Morning Brief.

This post was written by Luke Carberry Mogan.

Video Transcript

Let’s do a quick check of the market sponsored by Tasty Trade.

Why don’t we taking a look at the Dow, the S and P 500 the NASDAQ?

Oh my gosh.

All right.

Slips just below 40,000.

But we’re still in positive territory here for the dow.

My goodness.

We were so close.

We were right there.

Uh, a hair’s breadth, some might say away from opening in that 40,000 marker.

We’ll see exactly where that opening cross was in a moment.

But the S and P 500 you’re seeing that flat just barely to the upside and the NASDAQ composite that’s flat just barely to the downside here as well.

Certainly, we will keep an eye, a close eye on those record setting numbers.

Whether or not we’re going to see another day as we close, could potentially close at all time.

Highs Walmart, the big driver of the Dow here this morning.

The reason why we’re still looking at gains.

All right, let’s get over to Jared for a closer look at this movement that we’re seeing, Jared.

Yes, I thought we’d start off with some records.

But uh we know the S and P 500 the Dow NASDAQ all at or near record highs.

But I want to show you the Wilshire 5000.

This is an index that’s supposed to represent all of the liquid stocks in the US.

And we don’t have as many stocks as we used to.

So it’s actually 3500, but we have just notched a record high in the Wilshire.

So all the arguments about the breadth of this market are just evaporating one by one.

I also want to point out the Vix is near the lows of the year.

So seasonality actually favors a higher Vix over the next two weeks.

That is the only potential headwind I see for this market, especially after clearing CP I yesterday with flying colors.

Here’s our sector action.

We got staples and financials in the lead financials, by the way at a record JP Morgan and Goldman Sachs driving that.

Uh but I do want to get to our meme stocks here while we got some time because we have seen game stop under pressure in the upper right.

It’s down 12 13% right there and A MC at the bottom there.

That’s about 5%.

Uh Let me show you the two day totals here, so you can see what happened.

I’m gonna sort by performance and you’re gonna see the biggest losers were Gamestop A MC and costs all down about 25%.

Uh These guys have been moving somewhat in lockstep.

But now let me show you the four day total where, guess what reversal of fortunes we have game stop.

Still up 100% on the week.

Basically, a MC up 76% cost of 44%.

And then you can go down the line.

Uh, the point is it’s actually been a successful week.

Uh, if you’re a buy and hold me stock, if you’re just a trader, you gotta be nimble because these guys have been flying high and low.

So let me just see if I can pull up a game.

Stop sharp.

Here’s the four day price action and you can see they’re still up 92%.

Uh, but pretty far at least 20% I believe offered those highs.

All right, Jared Ire that we’re gonna continue to watch here today, expected a lot of allity.

All right, Jared Blecker.

Thanks so much for breaking that down for us.