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Dow Jones jumps 549 points as Treasury yields fall, but what now? Eli Lilly tops 7 bullish stocks

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Dow futures fell overnight, along with S&P 500 and Nasdaq futures, while Treasury yields rose. Major indexes rebounded strongly on Wednesday while Treasury yields retreated from 12-year highs as the Bank of England resumed bond buying.




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Biogen (Bahrain Islamic Bank) and Japanese partner Isai reported that the Alzheimer’s drug reduced cognitive decline in a late-stage trial. Shares of Bahrain International Islamic Bank jumped 40%.

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Eli Lilly (LLY) to a buy point in Biogen News. Lilly is working on a similar treatment for Alzheimer’s disease.

Vertex Pharmaceuticals (VRTX) made an upward movement, along with Regeneron Pharmaceuticals (Region). So did the drug distributor Cardinal’s health (CAH). double check (DV), Cheniere Energy (liquefied natural gas) And the Albemarle (ALB) they show positive actions.

apple (AAPLIt was sold out Wednesday morning after it was reported to be limiting iPhone production. But AAPL stock closed off session lows. Apple iPhone chip makers have mostly recovered with little change.

VRTX and DoubleVerify stock is on IBD Leaderboard. Vertex, Albemarle and DV stocks are available on file defect 50. Vertex stock and ALB are on file IBD Big Cap 20.

Dow jones futures contracts today

Dow futures fell against fair value. S&P 500 futures were down 0.1% and Nasdaq 100 futures were down 0.15%.

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The 10-year Treasury yield rose 6 basis points to 3.77%.

Remember to work overnight in Dow Jones futures contracts and elsewhere that does not necessarily translate into actual circulation in the next regular session Stock market session.


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stock market Wednesday

The stock market opened mixed but quickly gained momentum, and finally had a clearly positive trading session.

The Bank of England announced early Wednesday that it will buy long-term British bonds, a big policy inverse. Stunning Treasury yields surged in recent days while the British pound fell as new British Prime Minister Liz Truss announced plans for a massive increase in borrowing.

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The 10-year Treasury yield, which had crossed 4% overnight, fell sharply as a result of the Bank of England’s move. This, in turn, led to the stock market’s long-awaited rebound.

The Dow Jones Industrial Average rose 1.9% on Wednesday stock market trading. The S&P 500 index jumped nearly 2%. The Nasdaq Composite Index jumped just over 2%. Small cap Russell 2000 jumped 3.2%.

It is said that Apple Curb iPhone production plansIt appears that the expected increase in demand did not materialize. The Dow tech giant told suppliers it aims to manufacture 90 million devices, compared to the previous year. Apple stock eventually closed 1.3% lower at 149.84 after sliding as low as 144.84 on the day.

The 10-year Treasury yield fell 26 basis points to 3.71%. In overnight trading, the 10-year Treasury yield briefly reached a 12-year high of 4.005% ahead of the Bank of England’s bond-buying scheme.

The dollar fell strongly on Wednesday, but gave part of its significant gains in the past several days. The dollar has risen over the past year.

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ETFs

between the Best ETFsThe Innovator IBD 50 ETF (fifty) jumped 3.7%. iShares Expanded Technology and Software Fund (ETF)IGV) 2.2%. VanEck Vectors Semiconductor Corporation (SMH) rose 1.3%.

SPDR S&P Metals & Mining ETFs (XME) rose by 4.6%. SPDR S&P Homebuilders ETF (XHB) jumped 4.8%. SPDR Specific Energy Fund (SPDR ETF)XLE(Up 4.4% and the Financial Select SPDR ETF)XLF) rose by 2%. SPDR Healthcare Sector Selection Fund (XLV) gained 2.2%. LLY Stock is a major XLV contract.

Shares reflect more speculative stories, the ARK Innovation ETF (see you) jumped 4.7% and the ARK Genomics ETF (ARKG) increased by 6%.


Top 5 Chinese stocks to watch right now


stock to watch

LLY stock jumped 7.5% to 334.38, breaking the gap of the 50-day moving average and the downtrend line. During today’s trading, the share price reached 341.70 topping 335.43 flat base Buy a point before closing in the lower half of its daily range. The Relative force lineAlready at the highest levels, it rose again. However, ups are struggling with gaps in the bear market.

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Biogen’s positive news of late-stage Alzheimer’s disease is a positive sign of Lilly’s treatment itself in clinical trials. But how should the market price be in encouraging news for a competing drug, especially given the historical difficulties in finding effective treatments for Alzheimer’s disease? However, overall, Lilly’s pipeline looks solid, with analysts anticipating huge sales of a new obesity drug.

VRTX stock rose 2.7% to 292.41, breaking the 50-day line and trendline, making a solid entry. Vertex stock contains 306.05 buy point From a flat base, according to MarketSmith. VRTX stock RS line has reached a new high. On Tuesday, Vertex stock rose 2.9% on positive news of its gene-editing treatment CRISPR treatments (CRSP), for sickle cell anemia and other blood diseases.

REGN stock rose 1.5% to 705.42 to close just below the short downtrend line after breaking that level during the day. Regeneron stock is consolidating after briefly climbing to a record high in early September based on positive clinical data for the already approved Eylea drug. The RS line is at a two-year high.

Cardinal Health stock rose 4.65% to 69.29, breaking through a short downtrend and clearing the 21-day moving average. This extends Tuesday’s bounce off the 50-day moving average. CAH stock may form a new consolidation after racing higher in July and August.

DoubleVerify stock rose 2.9% to 27.85, continuing to bounce off the 50-day streak, albeit in light volume. DV stock offered a solid entry in early September, but quickly pulled back with the market. The RS line is at a 10-month high.

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LNG stock jumped 6.8% to 162.97, reclaiming its 50-day moving average and 21-day line. Cheniere Energy and other LNG plays seem to have a long-term growth story.

ALB stock rose 3.1% to 277.95, continuing to find support from the 50-day line. While it is technically approaching an old buying point, investors may want to see a new fundamental shape, or perhaps pause a bit longer before bouncing back higher.

stock market analysis

The stock market finally got a real full session bounce. Major indexes rose strongly on Wednesday in response to lower Treasury yields and a weaker dollar. Treasuries responded to the Bank of England’s move to buy British bonds temporarily.

As the Bank of England has shown, central banks can quickly reverse policy when financial markets are under pressure. So it is possible that Fed policy could suddenly change at some point. But the Fed appears comfortable with a “only” bear market, ready to risk an apparent recession.

In any case, the market rebound was not surprising given the oversold conditions, high bearish sentiment, and other factors. Major indices are still in bear market lows. Investors should look for real signs of market strength.

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a Follow-up day Confirmation of a new bullish attempt would be a positive sign, although investors should remain extremely cautious in such a scenario. The follow-up day for one or more of the major indicators is still a few days ahead.

In practice, any stock market recovery will likely depend on whether Treasury yields continue to decline. But Treasury yields are likely to remain on an upward trend as long as the Federal Reserve aggressively raises interest rates.


Time to Market with IBD’s ETF Market Strategy


What are you doing now

It has been a long time since the market had a strong day and investors need to keep their perspective. It’s still a bear market. The main indicators are at their lowest. Stocks are at the mercy of Treasury yields, which are at the mercy of the Federal Reserve. But the Fed takes the Cobra Kai mentality: “Hit first. Hit hard. No mercy.”

In this environment, investors should generally wait for signs that the bulls are gaining momentum.

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If you decide to buy stocks that flash with buy signals, such as Eli Lilly or Vertex, consider treating them as swing trades, and take partial or full profits very quickly. Reversal risks are very high, especially if the market resumes selling.

Trying to go up in the market he is Underway. So investors should work on their watch lists. Focus on relative strength, paying particular attention to higher stocks or testing key levels such as the 50-day moving average.

Read The Big Picture Every day to keep up with the trend of the market, stocks and leading sectors.

Please follow Ed Carson on Twitter at Tweet embed For stock market updates and more.

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MicroStrategy is at its lowest level since 2020 after the sales were revealed

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(Bloomberg) — Shares of MicroStrategy touched their lowest level since August 2020 after the enterprise software company, which in recent years has been known as the largest buyer of bitcoin, revealed its first sale of the token.

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The stock fell 1.1 percent to $136.63 on Thursday, down 75 percent this year. Bitcoin rose less than 1% to around $16,590 and is believed to have fallen 64% since the start of the year.

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In a filing on Wednesday, MicroStrategy said it acquired approximately 2,395 Bitcoin between the beginning of November and December 21 through its subsidiary MacroStrategy, and paid out approximately $42.8 million in cash. It then sold 704 of the tokens on Dec. 22 for a total of about $11.8 million, citing tax purposes, before buying another 810 of them two days later.

Matt Malley, chief market strategist for Miller Tabak + Co. Step down as CEO. This news means they don’t seem to want to do that anytime soon.”

Overall, MicroStrategy held about 132,500 bitcoins worth over $4 billion USD as of December 27th. The company paid an average purchase price of $30,397 per bitcoin.

“Given MicroStrategy’s $2.4 billion in leverage, we believe the company may have a lot of leverage over Bitcoin, and may face some liquidity risk,” Jefferies analyst Brent Thiel wrote in a note on Wednesday. Thill has an “underperform” rating on the stock and a price target of $110.

Over the years of the pandemic, MicroStrategy has become well known for its Bitcoin takeovers, largely led by Saylor. Earlier this year, Saylor stepped down from that role and now serves as CEO at the company and continues to lead its bitcoin strategy.

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MicroStrategy was trading around $120 before Saylor first announced the company’s Bitcoin purchases in 2020. The stock reached an all-time high of $1,315 in February 2021.

(Updates to include the stock’s closing price in the second paragraph.)

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Bankman-Fried May File Petition in New York Federal Court Next Week Before Judge Louis Kaplan By Cointelegraph

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Former FTX CEO Sam Bankman-Fried is set to appear in court on the afternoon of January 3 to enter a lawsuit over two counts of wire fraud and six counts of conspiracy against him related to the collapse of cryptocurrency exchange FTX, according to Reuters. mentioned on December 28, citing court records. Bankman-Fried will appear before District Judge Lewis Kaplan in Manhattan.

Judge Kaplan was appointed to hear the case on December 27 after the original judge in the case, Ronnie Abrams, Resigned herself because of connections between FTX and the law firm Davis Polk & Wardwell, where her husband is a partner. The company provided advisory services to FTX in 2021.