Markets Live Recap: Stocks Close Down Despite Powell's Statement

The S&P 500 and Dow Jones were both down in early market trading as investors continued yesterday's sell-off.

Then, Jerome Powell said the U.S. Federal Reserve intends to keep interest rates near zero through 2022. And he expects GDP to expand by 5% in 2021.

Stocks rallied across the board on the back on the announcement by the Fed Reserve Chair.

But only the Nasdaq closes the day in positive territory - up 1.2% and closing at a record high.

The S&P 500 was flat and the down was down 0.6%.

Here's what our experts - Chris Johnson and Shah Gilani - saw live at the open and close of the trading day.

Chris Johnson (8:45 a.m. EDT)

• Chris remains bullish on Etsy Inc. (NASDAQ: ETSY), currently trading for $80.
  • E-commerce has generated most of the retails sales during the lockdown and Etsy should continue its strength once we're on the other side of the pandemic.
  • Chris' price target: $110.
• Chris is bearish on United Airlines Holdings Inc. (NASDAQ: UAL), which started the trading day at $44.60.
  • UAL was downgraded to neutral from overweight by JPMorgan Chase & Co. (NYSE: JPM).
  • Chris' price target: $35.
• He's also bearish on Delta Air Lines Inc. (NYSE: DAL), which started trading the day at $34 per share.
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  • The airlines have simply gone up too far, to fast, without any justification because passengers and sales clearly haven't returned yet.
  • In fact, DAL just announced Q2 revenue declined 90% year over year.
  • Chris' price target: $30.
• Chris' final piece of stock advice for the day: Don't bet against Elon Musk and Tesla Inc. (NASDAQ: TSLA).
  • Musk announced it's time to start producing the Tesla semitruck at greater volume after Nikola Corp. (NASDAQ: NKLA) tripled in the past month.
  • Chris has bet against TSLA in the past, and it has almost never worked out.

Shah Gilani (3:45 p.m. EDT)

• Shah spent most of his live stream answering viewers' questions on individual stocks.
• Digital Ally Inc. (NASDAQ: DGLY), currently trading for $5.35.
  • This company makes body cameras and is already up 552% since May 27.
• Avis Budget Group Inc. (NASDAQ: CAR), currently trading for $27.
  • Shah thinks investors should be careful with this stock, even though it has less competition with Hertz Global Holdings Inc. (NYSE: HTZ) going out of business.
• Shah is bullish on Constellation Brands Inc. (NYSE: STZ), currently trading for $180.
  • It's a well-run business that has had a nice 50% pop since the mid-March COVID-19 induced lows.
  • Shah is slightly concerned about the debt load, but STZ is still a long-term buy.

Catch us tomorrow - starting LIVE again at 8:45 a.m. EDT with Chris Johnson, right here.

If you missed our live streams today, you can now replay them on our YouTube channel, here.

Got a question you want our experts to cover? Send us a note.

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