- Dow Jones hold 40,000 on Friday after a brief decline on fresh tariff fears.
- American data came in all fields, with consumer feelings decreased and PPI reduced.
- Continuous trade tensions will continue to influence markets such as China and the American Square.
Dow Jones (DJIA) caught a late offer on Friday, as it returned to the main price handle of 40,000 after an early decrease in the increasing tariffs between the United States and China. China raised the definitions of US imports to 125 % as the country continues to take revenge on the missile tariffs imposed on Chinese goods imported in the United States, which rose to 145 %.
Despite the three -way definitions in both directions, White House employees still insist that President Trump is still optimistic that a trade deal between the United States and China will be reached, which helps to enhance morale. Dow Jones won nearly 600 points on Friday, raising the main stock index 1,800 points for this week. DJIA is still sharply low from record levels, but the shares that have been widely recovered this week after the Trump administration moved away from the unbalanced “mutual” definitions again.
The inflation has reduced the US producers’ price index (PPI) faster than expected in March, as the basic product price index fell to 3.3 % on an annual basis. However, the pressure of inflation continues to cook in the background where the markets are waiting for the speedy repercussions of the customs tariff directly to the American economy.
The results of the Consumer Morals at the University of Michigan (UOM) showed that the widespread tariff tensions are dealing with at the economic consumer level. Expectations And inflation expectations. UOM’s morale has decreased to its lowest level over 50.8, and the consumer expectation index decreased to its lowest level ever at 47.2, where more consumers expect stagnation next year.
Consumer inflation expectations for a year increased to 6.7 % of 5.0 %, and inflation forecast accelerated for 5 years to 4.4 % of 4.1 %. Consumers grow increasingly in the face of customs tariffs on a large scale, and inflation expectations are at risk of being designed with high import prices in all fields.
Dow Jones price expectations
Dow Jones Industrial Valle caught up at another Friday’s show, which is just enough to activate Dow Jones over a 40,000 handle to come out an incredibly volatile week. DJIA has reached its lowest level for 16 months near 36,600 before it rises to the high side on geopolitical addresses.
The movement of price is still caught on the declining side of the 200 -day SIA moving average (EMA) at 41,875, but the upscale momentum goes with a rapid pace to continue grinding higher bids. A long -term turning point is located on a 41000 handle, near the turning point of the swing in the middle of March.
Dow Jones Daily Plan
Dow Jones, common questions
Dow Jones Industrial Meptal, one of the oldest securities market indicators in the world, is assembled from the 30 most traded stocks in the United States. The index is likely to prices instead of the capitalization. It is calculated by collecting component stock prices and dividing them into a worker, currently 0.152. The index was established by Charles Dow, who also founded the Wall Street Journal. In subsequent years, she was criticized for not being represented widely enough because it only follows 30 groups, unlike the broader indicators such as the S&P 500.
Many different factors pay the DJIA. The total performance of the component companies that have been revealed in the company’s quarterly profit reports is the main performance. Overage economy data in the United States also contribute as it affects investor morale. The level of interest rates, set by the Federal Reserve (Fed), also affects DJIA because it affects the cost of credit, on which many companies depend dramatically. Therefore, inflation can be a major driver as well as other standards that affect the decisions of the Federal Reserve.
Dow is a way to determine the basic direction of the Charles Dow. The main step is to compare the direction of the industrial average (DJIA) and the average transmission of Dow Jones (DJTA) and only follow -up trends as both move in the same direction. Size is confirmation criteria. Theory uses elements of peak and pelvis. Dow theory assumes three stages of direction: accumulation, when smart money begins to buy or sell; General participation, when the audience joins a wider scale in; And distribution, when the smart money comes out.
There are a number of ways to exchange gypsum. One of them is the use of investment funds circulating in traded investment funds that allow investors to exchange DJIA as one security, instead of having to buy shares in all thirty companies. A major example is SPDR Dow Jones Industrial ETF (DIA). Djia Futures contracts enable traders to predict the future value of the indicator and options that provide the right, but not commitment, to buy or sell the index at a pre -determined price in the future. Investment funds enable investors to buy a share of a variety of DJIA shares and thus provide exposure to the general index.
