Dow Jones Climbs Despite Renewed Fed Rate Fears; Netflix Raises Prices As Disney Looms

The Dow Jones Industrial Average rose 0.2% in morning trades Tuesday despite renewed talk of interest rate hikes from the Federal Reserve. The closely watched index was headed for its seventh straight up session.

On Monday, Minneapolis Fed President Neel Kashkari indicated that the rate hike cycle may not be at an end. Kashkari told the Wall Street Journal, that he would err on the side of overtightening monetary policy in order to bring inflation down to 2%.

On Nov. 1, the Fed left rates unchanged at 5.25% to 5.5%. Other Fed officials will speak on Tuesday, followed by Fed Chair Jerome Powell on Wednesday and Thursday.

The S&P 500 climbed 0.3% in the stock market today while the Nasdaq sailed even higher, rising 0.8%. All three major indexes are holding above the 50-day moving average.

Volume on the New York Stock Exchange was higher, while action on the Nasdaq dipped compared with the same time on Monday. Decliners were higher than advancers.

The small-cap Russell 2000 index underperformed and fell 0.1%. The Innovator IBD 50 ETF (FFTY) rose 0.3% at the hour.

Meanwhile, West Texas intermediate crude added to signs of economic weakening and fell more than 2% to $78.57 a barrel. And the yield on the benchmark 10-year Treasury note fell 7 basis points to 4.59%.

Dow Jones Stocks

Intel (INTC) rose after reports that the bellwether chipmaker may be the primary candidate for a multibillion-dollar deal with a U.S. defense facility.

Disney (DIS) plans to report its fiscal fourth-quarter and full-year results on Wednesday after the market close. Shares are holding above their 50-day moving average heading into earnings.

Stocks Moving Today

Uber (UBER) reversed from early losses and was up in midmorning trades after releasing its third-quarter results before the bell. Earnings of 10 cents per share topped views, but sales of $9.29 billion were lower than estimates. Uber stock is up more than 90% for the year through Monday’s close and is near a buy point of 49.19.

Energy drink maker Celsius (CELH) sank more than 1% even though the company said third-quarter sales more than doubled to $385 million from $185 million in the prior-year quarter. Further, earnings of 89 cents a share marked a reverse from losses over the year-ago period.

Trip Advisors (TRIP) gave up some gains after gapping up to the 200-day moving average on earnings. Sales and earnings grew in the third quarter. TRIP shares were still up more than 7% in recent action.

Other earnings movers included Vertex Pharmaceuticals (VRTX), which reported a 6% increase in sales in its third quarter and raised its full-year revenue outlook to $9.9 billion. Earnings of $4.08 per share were higher by 7 cents from the prior year. The stock fell and pulled back into a buy zone.

In oil and field services, Tidewater (TDW) gapped down despite sales growth of 56% and an earnings surge of 133%. Shares triggered a sell signal and fell below the 50-day line. Oil transporter International Seaways (INSW) fell after earnings but remains near a proper buy point of 48.40.

Further, homebuilder D.R. Horton (DHI) rose in a cup base with a buy point of 132.30 after results.

Outside Dow Jones: Netflix Raises Prices

Netflix (NFLX) was up marginally as it worked to stretch its winning streak to seven straight days Tuesday. The streaming giant is raising prices ahead of the holiday season.

Akamai (AKAM) and Axon (AXON) report at the market close. Akamai surged into a buy zone Tuesday while Axon is hovering just below one.

AMC (AMC), Fair Isaac (FICO) and Duolingo (DUOL) report on Wednesday, along with Warren Buffett holding Occidental Petroleum (OXY). Trade Desk (TTD), Wynn Resorts (WYNN) and Li Auto (LI) will release quarterly results on Thursday.