Dow Jones Today: Stocks Mixed as Tesla Jumps on Q2 Deliveries

Citi Downgrade of Lennar, DR Horton Drags on Home Builders

11 minutes ago

Shares of several home builders tumbled Tuesday after Citi downgraded Lennar (LEN) and D.R. Horton (DHI), citing concerns about a housing market it says may stay sluggish for the rest of the year.

Citi cut its ratings on the companies’ shares to Neutral from Buy. It also cut its price targets on the stocks, as well as those of Forestar Group (FOR), Pultegroup (PHM), and Toll Brothers (TOL).

The analysts said they saw “softness in the data” potentially continuing in the second half of the year, saying that housing permits, starts, sales, and prices have recently come in below expectations.

Shares of Lennar and D.R. Horton sank more than 2% to trade at their lowest levels since December. Shares of the other three home builders by Citi fell, too.

–Bill McColl

Tesla Stock Surges as Q2 Deliveries Beat Estimates

1 hr 19 min ago

Tesla (TSLA) shares surged Tuesday following the release of second-quarter production and delivery numbers, which fell year-over-year but surpassed analysts’ expectations.

The electric vehicle giant delivered 443,956 vehicles in the second quarter and produced 410,831 vehicles, and announced that it will release its Q2 financial results after the bell on July 23.

Wedbush analysts wrote in a note immediately following the Q2 deliveries release that they believe “the worst is in the rear view mirror for Tesla.”

Tesla shares surged more than 8% Tuesday morning to trade above $228, their highest point since January. Still, Tesla stock is down more than 8% so far this year.

–Aaron McDade

Watch These Key WTI Oil Price Levels As Chart Signals Possible Breakout 

2 hr 13 min ago

West Texas Intermediate (WTI) crude oil jumped more than 2% to an eight-week high on Monday amid expectations of improving demand over the summer travel months and growing concerns that a regional expansion of the Middle East conflict could disrupt global oil supplies.

Zooming out to the weekly chart, the commodity’s price has traded within a symmetrical triangle since September last year to establish easily identifiable support and resistance areas. The pattern, which consists of two converging trend lines connecting a series of sequential peaks and troughs, represents equilibrium between the bulls and bears, but is often followed by a significant move in the direction of the breakout.

In this case, WTI appears poised to break out to the upside as the 50-week moving average (MA) sits above to 200-week MA and the price trades near the symmetrical triangle’s upper trendline. However, given the commodity’s volatility, investors should also be prepared for a breakdown from the pattern.

See here for more on WTI price levels to watch.

–Timothy Smith

Stock Futures Slip Ahead of JOLTS, Powell Comments

3 hr 4 min ago

Futures contracts connected to the Dow Jones Industrial Average were down 0.2% in premarket trading.

S&P 500 futures fell 0.4%.

Nasdaq 100 futures were off 0.5%.