Dow Jones Futures: Palantir Soars Into Buy Zone, Nvidia Runs, But Beware This

Dow Jones futures were little changed after hours, along with S&P 500 futures and Nasdaq futures.

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The stock market rally rebounded Wednesday after Tuesday’s tech-led sell-off, but the major indexes closed well off intraday highs.

Fed chief Jerome Powell continued to say there’s no rush to cut interest rates, while labor market data didn’t set off any alarms. CrowdStrike (CRWD) gapped up on earnings, but came well off highs. And CRWD didn’t give much of a lift to the software sector, which was hammered Tuesday. On the plus side, Nvidia (NVDA), Advanced Micro Devices (AMD) and Super Micro Computer (SMCI) all hit new highs.

AI software play Palantir Technologies (PLTR) cleared a buy point Wednesday on news. So did diabetics products giant Dexcom (DXCM). Chipmaker Qorvo (QRVO) regained a buy point.

Square parent Block (SQ) is setting up.

Meanwhile, Tesla (TSLA) briefly undercut 2024 lows as it continues to show significant underperformance vs. the S&P 500.

Overall, investors should be careful as bullish sentiment reaches near-euphoric levels.

Nvidia stock is on Leaderboard while SQ stock is on the Leaderboard watchlist. CrowdStrike, Nvidia and Palantir stock are on the IBD 50. Nvidia, Super Micro, Palantir and CRWD stock are on the IBD Big Cap 20. Block was Wednesday’s IBD Stock Of The Day.

Dow Jones Futures Today

Dow Jones futures were roughly even vs. fair value. S&P 500 futures were flat. Nasdaq 100 futures fell 0.1%.

Remember that overnight action in Dow futures and elsewhere doesn’t necessarily translate into actual trading in the next regular stock market session.

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Stock Market Rally

The stock market rally rebounded Wednesday, but ended up regaining only a portion of Tuesday’s sharp losses.

The Dow Jones Industrial Average advanced 0.2% in Wednesday’s stock market trading. The S&P 500 index climbed 0.5%, with Dexcom the No. 1 gainer. The Nasdaq composite gained 0.6%, pushing…