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Stock Losses Accelerate As Disney, Boeing Try To Prop Up Dow | Stock News & Stock Market Analysis

The main indexes erased small gains and were trading near session lows as selling extended into afternoon trading Thursday.

X The Nasdaq composite was off 0.3% and continues a weeklong pattern of minor moves. The S&P 500 eased 0.4%.

The Dow Jones industrial average lost 0.2%, but Disney (DIS) shares leaped nearly 3% after it finalized a deal to acquire 21st Century Fox‘s (FOXA) entertainment assets with a value of about $66 billion.

But small caps got hit harder, as the Russell 2000 tumbled 1.2%. Two weeks ago, the Russell was looking promising as it ran to new highs. But it has given up all gains since then and has been volatile, indicating uncertainty about this class of equities.

Volume was tracking higher on the NYSE compared with the same time Wednesday and almost unchanged on the Nasdaq. Declining stocks led advancers by about a 2-to-1 ratio across the board.

Internet, semiconductor, mortgage, jewelry and video game software industry groups were some of the leaders in today’s market. That showed there was no clear sector in command of the session. Some retail, health care, steel and food industry groups were in the bottom of the day’s performance table.

Delta Air Lines (DAL), hosting its investor day, forecast solid 2018 and a fourth-quarter results, including more bullish expectations for unit revenue. Delta broke out of a cup-with-handle base with a buy point at 54.16. Volume was tracking about double its average, a positive sign.

Delta also confirmed it would buy 100 A321neo jetliners from Airbus (EADSY). The decision is a blow to rival Boeing (BA), but the Dow component still rose 0.2% to a new high while also registering as one of the stocks moving in highest volume above average.

IBD’s airlines industry group is lagging, but a few stocks in it have been performing as leaders. Southwest Airlines (LUV), which is in IBD Leaderboard, is extended from a breakout Nov. 30.

Sanderson Farms (SAFM), a member in IBD Stock Spotlight, plunged 12% after the poultry producer missed earnings estimates. The stock broke below the 50-day moving average in heavy trading and fell 11% below a 167.42 buy point. That was enough to trigger sell signals.

The company’s adjusted profit of $3.20 a share was below the consensus estimate of around $3.50. Sales rose 16% to $919 million, above expectations. The company cited lower seasonal prices after Labor Day, hurricane disruptions and a glut of chicken production.

TopBuild (BLD) climbed back above the 67.37 buy point, from where the stock initially broke out Nov. 28. Shares did not fall enough from the entry to cause a sell signal, and there’s been support at the 50-day moving average.

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