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Dow Jones Closes Flat But Near Day's Highs As Cisco Stalls Market Rally

The major U.S. indexes closed flat Thursday, but well off session lows. The Dow Jones Industrial Average closed slightly lower after major Dow components Cisco (CSCO), Disney (DIS) and Apple (AAPL) traded down, weighing heavily on the index.

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Dow Jones stock Walmart (WMT) climbed 4% before reversing lower, as third-quarter earnings fell less than expected. Nvidia (NVDA) was volatile after the close following the company's earnings report. Nvidia, a Leaderboard stock, continues to extend after a breakout from a bottoming base with a 188.50 entry.

Applied Materials (AMAT) rose after its fiscal fourth-quarter report after the bell. Applied Materials surged more than 4% after the market close. The company reported fiscal Q4 earnings that beat expectations, with revenue edging lower to $3.75 billion from $3.76 billion a year ago, ahead of the $3.68 billion estimate. Adjusted EPS fell to 80 cents a share from 85 cents a year earlier, but still outpaced analysts' estimates of 76 cents.

The stock broke out above a 52.52 buy point on Oct. 24 and is now extended past its 5% buy zone.

Dow Jones Today

After closing Wednesday at record highs, the Dow Jones closed down 0.01% on Thursday, while the S&P 500 rose 0.1%. The Nasdaq closed a fraction lower.

Cisco fell 7% in heavy volume to a 10-month low. The stock, considered a proxy for broad-based tech spending among major enterprises, reported fiscal Q1 results that beat expectations but disappointed investors with current-quarter guidance. This suggests businesses might be avoiding investment amid President Trump's trade war.

Investors contended with ongoing questions around whether the U.S. and China will reach a trade deal as the two sides negotiate over agricultural purchases. The ongoing uncertainty gave investors little motivation to continue buying stocks and riskier assets, and instead encouraged some profit taking and investing in safer assets like gold. VanEck Vectors Junior Gold Miners (GDXJ) rose nearly 1.6% and VanEck Vectors Gold Miners (GDX) closed higher Thursday, up 0.9%.

At the same time, stock indexes closed near session highs. The Nasdaq had fallen as much as 0.5%.

As for the IBD 50, biggest winners include gold miner Kirkland Lake Gold (KL), aesthetics firm InMode (INMD) and vehicle auction firm Copart (CPRT).

InMode led the IBD 50 closing 6.25% higher, after hitting record highs. Kirkland traded up nearly 1.4%, as the stock builds a flat base with a 51.58 buy point. Copart rose 2.7%, closing within a 5% buy zone with a 81.93 buy point.

The Innovator IBD 50 ETF (FFTY) closed higher 0.5% in today's stock market.

Walmart Stock Back In Buy Range, But Reverses

Among the major Dow Jones stocks, Walmart was a big mover Thursday as it reversed lower after hitting a new all-time high. Shares were down nearly 1% after an early 4% surge, fueled by better than expected quarterly earnings. The stock closed at 120.50, just below the top of the 5% buy zone at 120.78, after a breakout from a 115.03 buy point.

The company's EPS fell 2% during the quarter, in line with expectations, while revenue rose 2% to $126.98 billion, falling just short of analyst's expectations at $128.08. Same-store sales were stronger than expected, up 3.2%.

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