Dow Jones and S&P 500 Rose Thursday. What about Nasdaq?

 Dow Jones futures and S&P 500 futures climbed up on Thursday. On the other hand, Nasdaq futures tumbled down. The stock market rally slowed on Wednesday as recent big winners such as Snowflake (SNOW) and Tesla (TSLA) declined. However, the negative action may prove to be a long-term positive.

 

On Thursday, an FDA advisory panel meets for the Pfizer (PFE) and BioNTech (BNTX) Covid-19 vaccine, and FDA approval and vaccinations will follow quickly.

 

Meanwhile, Taiwan Semiconductor (TSM) announced November sales of 124.87 billion Taiwanese dollars ($4.82 billion), higher by 4.7% from October and 15.7% versus a year earlier. The stock’s revenue skyrocketed by 12.5% in October. Taiwan Semiconductor makes chips for AMD (AMD) and Nvidia (NVDA), as well as Apple (AAPL) and Apple iPhone chipmaker Qualcomm (QCOM).

 

On Thursday, Taiwan Semiconductor stock changed insignificantly in light trading. On Wednesday, TSM stock tumbled down 1.15%. Apple stock also dropped down on Wednesday below an early entry after hitting resistance at another. Furthermore, AMD stock decreased to near its buy point, and Nvidia plunged through its 50-day line.

 

Overall, Dow Jones futures climbed up by 0.1% above fair value. The S&P 500 futures were also slightly above fair value. Nasdaq 100 futures declined by 0.1%.

 

Investors expect the European Central Bank to expand stimulus efforts on Thursday, considering new Covid-19 shutdowns hitting the eurozone economy.

 

How did IPO Stocks fare?

 

DoorDash (DASH) jumped by 86% to 189.51 in Wednesday’s debut for the food-delivery specialist, which competes against Uber (UBER) division Uber Eats and Grubhub (GRUB). The DoorDash IPO increased to $3.4 billion; thus, pricing 33 million shares at $102 each, well above a raised price range of $90-$95. However, the IPO range for DASH stock was $75-$85 originally.

 

C3.ai stock skyrocketed by 120% to 92.49 in its debut, even though it closed near session lows after jumping to 115 intraday high. On Tuesday, the AI priced 15.5 million shares at $42, surpassing the estimated range of $36 to $38. The C3.ai stock price range was $31 to $34 originally.

 

Many IPO stocks have been major winners in the past few months. However, investors should avoid buying new issues on the first day, even if the stock is soaring and the company is exciting. Better to wait for a new IPO to set up and then break out of an IPO base.

 

Asana is a good example. ASAN stock skyrocketed in its Sept. 30 debut, rallying to 29.96 intraday. Additionally, the enterprise software IPO plummeted down to 20.57 on Nov. 12 before recovering. Even though Asana stock played with the 30.06 IPO base buy point during this week, it dropped 2.3% to 28.34 on Wednesday.