Dow Jones Futures Fall: Stocks Run With Big Earnings, Nasdaq 100 Rebalance Due

Dow Jones futures and S&P 500 fell slightly overnight, while Nasdaq futures tilted higher. JPMorgan Chase headlines big earnings Friday.

Tech growth plays led another solid session for the stock market rally, with Treasury yields and the dollar continuing to slide.

Google parent Alphabet (GOOGL), ASML (ASML), Snowflake (SNOW), Arista Networks (ANET) and On Holding (ONON) flashed buy signals Thursday as many other leaders extended gains.

This has been a good week for investors to add exposure, but the risk of another market pullback is rising.

Earnings

Aehr Test Systems (AEHR) reported fiscal Q4 earnings that modestly topped views, with revenue just beating. The chip-testing equipment maker, with exposure EV semiconductors, sees fiscal 2024 revenue up more than 50%, but perhaps just below views. AEHR stock climbed 4% in volatile overnight trading. Shares rose 3.7% to 141.43 on Thursday, extending a bounce from the 10-week line and back above a 40.69 prior buy point that’s no longer valid. AEHR stock has been consolidating for the past few weeks next to the top of a prior base.

JPMorgan Chase (JPM), Wells Fargo (WFC), Citigroup (C), BlackRock (BLK) and UnitedHealth (UNH) are on tap early Friday. JPM stock is in a buy zone while BLK stock arguably is actionable. UNH stock and other health insurers are reeling in recent weeks.

Magnificent Seven In Focus

Meanwhile, the Nasdaq is set to announce Friday how it will reweight the Nasdaq 100 via a “special rebalance” that will take place on July 24. The “Magnificient Seven,” Apple (AAPL), Microsoft (MSFT), Nvidia (NVDA), Google stock, Amazon.com (AMZN), Tesla (TSLA) and Meta Platforms (META) are expected to see lower weights.

On Holding, Nvidia and Tesla stock are on Leaderboard. ONON stock and Arista Networks are on SwingTrader. Both On Holding and ANET also are on the IBD 50. TSLA stock is on the IBD Big Cap 20. On Holding was Thursday’s IBD Stock Of The Day.