- Dow Jones slightly stood up on Friday, cutting fresh weekly ups.
- Capital markets have rejected worse than expected printing from the UOM consumer mood index.
- Investors hope that more transparency will come from Trump’s administration on trade.
Dow Jones Industrial Average (DJIA) entered the fresh weekly ups on Friday after investors moved the second print from the consumer sentiments index of the University of Michigan (UOM). Market moods He remains on the side because traders hope for further transparency of Trump’s administration trade and the constant alleviation of President Donald Trump’s tariff policy.
The UOM consumer mood indicator has dropped to 50.8 of 52.2 As the prospects of consumers of business activity, income and employment constantly decrease. Investors hoped for an raise in consumer moods, but the average consumer apparently disagrees with Wall Street. 1 year and 5 years of inflation expectations also increased, increased to 7.3% and 4.6%, respectively.
Market moods remain at the highest level, but the gloomy commercial clouds remain
While consumers are terrible in forecasting their economic future, tariff fears are havoc in consumer feelings regarding the economy. Due to the fact that inflation expectations are growing, it can pave the path of “profit -directed inflation” or enterprises using the possibility of raising prices in the face of consumers expecting rising prices. Inflation data in the USA was much better than expected This weekHelp in calming the market is afraid that the US trade policy may still destroy the robust position of the US economy. However, investors usually disappear the time needed to display government policy in the header data, and the tariffs are probably no exception.
According to the estimates of the Fitch Ratings agency, the headline in the US reached 13% after the modern entertaining toy of the Trump administration involving the utilize of tariffs to control global trade. The US was 2.5%before the universal ETR tariffs. ETR USA in China remains above 30% even after a walk of unjustified 145% of the import taxes of President Trump.
Trump’s administration has developed a form of threat of deeply harmful changes in politics before their departure, temporarily suspension or cancel them in an eleventh hour. The perception of the market essentially provides for the continuous claw of Donald Trump’s political strategies; However, the stubborn animal spirits will probably remain lete, until Trump’s administration provides certain solid results and does not provide some clarity in relation to many trade agreements that insist on the staff of the White House, it is necessary to announce each day for the last two months.
The last act on the US government budget failed in Congress on Friday. Hardline conservatives rejected the expenditure account that would add trillions of domestic debt and include steep tax breaks for people with high net value and drastic cuts of Medicaid expenses. Several key republicans rejected the bill on the introduction of excessive expenses on the deficit, which the Republican Party spent years, accusing their democratic opponents. On the other hand, Select Republicans rejected the act because they thought that they did not include sufficient cuts to national healthcare regulations. Budget rejection corresponds to the blow of the plans of the management of Trump consisting in the mass project of the expenditure through the US legislator. President Trump will probably have words that can be shared in this matter on his social account of the truth, especially since it is one key aspect of the strategy of his administration, which he cannot do by applying the flood of executive orders.
Dow Jones price forecast
The industrial average Dow Jones finally returned to level 42,500 for the first time since March. Commercial headers meant that in the first quarter in the first quarter they sent capital shares markets, sending Dow Jones to the region 36,600. After weeks of spurring back losses, DJIA finally returns to a positive territory at 2025.
Partish Momentum strengthened Dow Jones back above the 200-day interpretation of the movable medium (EMA) near 41,500, and Djia reflected 16.25% DNA to from above. The price action is guided by the retaining technical zone valued from the march high to 42,800, while 42,000 handles are to start providing the technical floor.
Dow Jones Daily Table
Dow Jones FAQ
The industrial average Dow Jones, one of the oldest stock market indicators in the world, is developed from the 30 most rotating operations in the USA. The index is rather weighted with the price, not weighted by capitalization. This is calculated by adding up the operating prices and dividing them by the factor, currently 0.152. The index was founded by Charles Dow, who also founded the Wall Street Journal. In later years he was criticized for not representative enough, because he follows only 30 conglomerates, unlike wider indicators such as S&P 500.
Many different factors drive the industrial average Dow Jones (DJIA). The main results of component companies revealed in the company’s quarterly reports are the main results. The condition and global macroeconomic data also contribute because they affect the mood of investors. The level of interest rates, determined by federal reserves (Fed), also affects DJIA, because it affects the cost of a loan on which many corporations are strongly dependent. Therefore, inflation can be the main driver, as well as other indicators that affect the FED decisions.
DOW theory is a method of identifying the basic stock exchange trend developed by Charles Dow. The key step is to compare the industrial direction of Dow Jones (DJIA) and medium transport of Dow Jones (DJTA) and follow only trends in which both move in the same direction. Volume is confirming criteria. The theory uses elements of peak analysis and the trough. Dow theory assumes three phases of the trend: accumulation when intelligent money begins to buy or sell; Society’s participation when a wider society is joined; And distribution when intelligent money comes out.
There are many ways to trade in DJIA. One of them is the utilize of ETFs that allow investors to trade DJIA as one security instead of buying shares in all 30 components. The leading example is SPDR DOD Jones Industrial ETF (Dia). Djia Futures contracts enable traders by speculating the future value of the index and the options ensure the appropriate, but not the obligation, buying or selling the index at a predetermined price in the future. Investment funds enable investors to buy a diverse DJIA shares portfolio, thus ensuring a general exposure to the general indicator.
