Stocks Turn Higher; Apple, Oracle Get Smacked – Investor’s Business Daily

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Stocks turned  higher in late afternoon trading Thursday, as Apple (AAPL) received a price target cut and Oracle (ORCL) got hit with a whistleblower lawsuit.

The Nasdaq rose 0.2% while the Dow Jones industrial average and S&P 500 climbed 0.1%. Volume was tracking lower across the board vs. the same time Wednesday.

Oil, meat products and building-related stocks were among the biggest losers in the stock market today. Oil stocks slid as OPEC, as expected, said it will not set production limits. But West Texas intermediate oil reversed an earlier loss and was up slightly to $49.07 a barrel after the Energy Information Administration said U.S. stockpiles fell last week. Department stores, biotechs and other medical stocks outperformed.

Apple led the Dow laggards with a 1% drop in heavier-than-usual trade, though off its intraday lows. The stock is on track for a fourth straight decline after hitting resistance just above the 100 level. Shares are still below their 50-day and 200-day moving average lines. Goldman Sachs cut its price target to 124 from 136 and lowered its iPhone unit sales forecasts fiscal 2016, 2017 and 2018, but maintained a buy rating.

Does Apple lead its Telecom-Consumer products group? Find out at IBD Stock Checkup.

Oracle gapped down and fell more than 4% in rapid volume to test its 200-day line for the first time since March. Svetlana Blackburn, a former senior finance manager, on Wednesday sued the software maker for allegedly firing her for complaining about accounting practices in its cloud computing business. Oracle said it plans to countersue.

IBD 50 stocks were mostly quiet. U.S. Concrete (USCR) gave up 2% as it fell further below its 50- day line. The stock is 4% above a 59.50 cup-with-handle buy point and 11% off its high.

Medical software maker Veeva Systems (VEEV) added 2.5% in robust trade. Shares are extended from a 28.05 entry but in buy range from a 33.20 entry cleared Wednesday. Fitness equipment maker Nautilus (NLS) rose 2.3% in weak volume.

In economic news, ADP data showed U.S. employers added 173,000 jobs in May, slightly below economist forecasts for 175,000. Jobless claims for the week ended May 28 came in at 267,000, in line with views.