Stocks clung to small gains in early-afternoon trading Thursday, as earnings reports continued to dominate the market.
The Dow Jones industrial average was up 0.2%, and the S&P 500 and Nasdaq each held a 0.1% gain. Volume was mixed, tracking slightly lower on the NYSE and higher on the Nasdaq vs. the same time Wednesday.
Oil, media and air freight transporters led the upside in the stock market today. Oil stocks got a boost from a 3% rise in West Texas Intermediate crude prices to above $45 a barrel.
Qorvo (QRVO) gapped up and rose 7% to retake its 50-day line in heavy volume, though it’s still below its converged 200-day line. Cowen boosted its price target on the Apple (AAPL) iPhone chip supplier to 55 from 50. Qorvo on Wednesday reported fiscal Q4 results that fell from the prior year but topped estimates.
Apple fell 1.3%, on track to close at its lowest level in nearly two years. The iPhone maker’s App Store suffered an hours-long glitch Thursday morning that returned incorrect results for users searching for apps. Shares sank 11% last week, weighed by Apple’s disappointing quarterly earnings report.
Automakers, department store retailers and apparel-related stocks lagged.
Tesla Motors (TSLA) was down 3% in fast trade after reversing from an early gain. Deutsche Bank raised its price target on the stock to 290 from 280 but doesn’t think Tesla can meet its 2018 production goal of 500,000 units. The electric car maker late Wednesday reported an adjusted loss of 57 cents a share, slightly better than views.
On the IBD 50, AMN Healthcare Services (AHS) rebounded with a 5% gain in brisk trade after falling to its 50-day line Wednesday. PRA Health Sciences (PRAH) found support at its 50-day average and bounced 5%, also in heavy trade.
Sprouts Farmers Market (SFM) was the biggest IBD 50 loser, gapping down to fall 9% in rapid turnover to its 200-day line. The stock had been forming a flat base prior to the drop. The natural foods grocery chain reported Q1 earnings that topped but sales that missed views.
In economic news, initial jobless claims rose to 274,000 last week, up from 257,000 the prior week. Economists expected 262,000 claims. Layoffs rose 6% to more than 65,000 in April, up 35% from job cuts in March, according to Challenger, Gray & Christmas.