Stocks opened in negative territory Tuesday and stayed there through the close. Volume is beginning to thin out as investors get a head start on their long weekend. Remember, the stock market will be closed Thursday for Thanksgiving and open for an abbreviated session on Black Friday.
When Tuesday's closing bell rang, the Dow Jones Industrial Average was off 0.2% at 35,088, the S&P 500 was 0.2% lower at 4,538, and the Nasdaq Composite was down 0.6% at 14,199.
In focus today was data from the National Association of Realtors that showed existing home sales fell 4.1% from September to October to a seasonally adjusted rate of 3.79 million. Year-over-year, existing home sales were down 14.6%. Meanwhile, the median sales price for existing homes was up 3.4% from the same period last year.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
"Prospective home buyers experienced another difficult month due to the persistent lack of housing inventory and the highest mortgage rates in a generation," said Lawrence Yun, chief economist at the National Association of Realtors, in the report.
In other economic news, the Federal Reserve released the minutes from its November meeting when it chose to keep interest rates unchanged. The minutes showed "most participants continued to see upside risks to inflation," while "all" Fed officials agreed it was best to "proceed carefully."
Since the Fed's most recent meeting, both the October Consumer Price Index (CPI) and Producer Price Index (PPI) showed inflation is easing. As such, futures traders are pricing in a 99.8% chance for no rate hike at the next Fed meeting in December, according to CME Group.
Retail earnings a mixed bag ahead of Black Friday
Market participants also took in a mixed bag of retail earnings. Burlington Stores (BURL), for one, shot up 20.7% after the off-price retailer reported higher-than-expected third-quarter earnings of 98 cents per share. Revenue of $2.29 billion matched estimates.
Kohl's (KSS), on the other hand, slumped 8.6% after its third-quarter results. While the department store beat on both its top and bottom lines, same-store sales fell by a wider-than-expected 5.5% and the company lowered its full-year sales growth forecast.
AI stock can soar 40%, says analyst
In non-earnings news, Oppenheimer analyst Timothy Horan upgraded enterprise artificial intelligence (AI) software firm C3.ai (AI, +1.7%) to Outperform from Perform, the equivalents of Buy and Hold, respectively.
The company's "'AI' theme is real and durable, with C3.ai well-positioned as one of the few pure plays helping customers drive new revenue sources and major productivity improvements," the analyst says. AI is already up more than 150% for the year-to-date, but Horan has a $40 price target on the tech stock. This implies upside of more than 40% to current levels.
Investors will hear more about artificial intelligence when Nvidia (NVDA, -0.9%) releases its third-quarter results after tonight's close. Analysts are expecting solid top- and bottom-line growth for one of Wall Street's best AI stocks.
Related content
- When Is the Next CPI Report?
- Kiplinger's Earnings Calendar for This Week
- Are Banks Open on Black Friday in 2023?
-
Donating Complex Assets Doesn't Have to Be ComplicatedIf you're looking to donate less-conventional assets but don't know where to start, this charity executive has answers, such as considering a donor-advised fund (DAF) for its tax benefits and ease of use.
-
Travel trends you can expect this summerThe Kiplinger Letter Domestic trips will trump foreign travel amid economic uncertainties, though some costs are down.
-
Stock Market Today: Investors Look on the Bright SideA generally good week closes on another positive note, as investors, traders and speculators look for fresh catalysts.
-
My Three-Day Rule for Investing: And If it Applies NowStock Market I've seen a lot in my career. Here's what I see now in the stock market.
-
Stock Market Today: Stocks Climb More Walls of WorryVolatility is back in a normal range, and the trend for the main equity indexes remains positive despite specific and general headwinds.
-
Is It Time to Invest in Europe?Stock Market Europe is being shaken out of its lethargy, militarily and otherwise, by Donald Trump's changes in U.S. policy. Should investors start buying?
-
Stock Market Today: Nasdaq Outperforms as Big Tech RalliesThe Dow Jones Industrial Average closed lower for a second day as Amgen and Merck fell.
-
Stock Market Today: UnitedHealth Drags on Dow After CEO SplitsUNH created headwinds for the price-weighted Dow on news that its embattled CEO, Andrew Witty, is stepping down.
-
Stock Market Today: Dow Gains 1,160 Points on U.S.-China Trade DealThe two countries agreed to a 90-day truce that will give them time to work on more substantive trade negotiations.
-
Stock Market Today: Investors Weigh Weekend NegotiationsInvestors, traders and speculators will look to Switzerland for answers about the most compelling issue confronting global markets.
