Stock market breadth remains bearish despite rally in the Dow, Nasdaq

Stock market breadth remains bearish despite rally in the Dow, Nasdaq

The Big 3 stock market indexes are enjoying a nice rally in morning trading Thursday, but market internals suggest the overall market of stocks is actually declining.

The number of declining stocks is leading advancers 1,618 to 1,351 on the NYSE and 2,461 to 1,609 on the Nasdaq. And volume of declining stocks represents 57.3% of total volume on the Big Board and 53.1% of total volume on the Nasdaq. Meanwhile, the Dow Jones Industrial Average DJIA, +1.85% rose 175 points, or 0.5%, while the S&P 500 SPX, +2.47% climbed 0.9% and the Nasdaq Composite COMP, +3.06% hiked up 1.0%. But with the Russell 2000 index of small-capitalization companies RUT, +1.80% down 0.5%, market internals indicate that gains in a minority of large-cap stocks is giving the appearance that the market is strong.

 

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