Djia Ended The Week In Red

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Djia Ended The Week In Red

Djia Ended The Week In Red On Weak Us Data

Dow Jones Industrial Average (DJIA) has ended the week near 38,239 amid disappointing GDP and inflation data. In general, a slow growth rate means an accelerated path leading to rate cuts which is favored by stock markets. However, sticky inflation is putting ice on the hopes of Fed rate cuts.

Djia Closed The Week Near 38239

With only a 1.6% GDP growth during Q1 2024, a lot of market players were taken by surprise as they were looking for something around 2.5%. Overall, a slow pace of growth like this was only seen during September 2022, which also highlights the severity of the situation.

slew of weak data sent the DJIA down towards the 37800 level, as the index lost a total of 550 points after the data release. However, the stock index has since staged a limited recovery and ended the week near 38,239.

Around 67% of the stocks which constitute the DJIA closed the day in red, with IMB leading the way. With a loss of almost 8%, IBM stock turned lower towards the $168.77 level.

Next up was Caterpillar (CAT), which also lost 6.5% for the day and was seen near the $340.12 level. The top gainer in the DJIA index was MRK, which was last seen at nearly $130.63, with a gain of 3%.

Although the DJIA has ended the week in the red, it is still above the 200 EMA on the D1 chart, which is found near 36700.41. There's still a difference of 1500+ points between the last trading price and the 200 EMA.

Next week, the DJIA will take its cues from the NFP report, which will shed light on the labour market conditions. Overall, the DJIA didn't take well to the US data releases as it means yet another delay in the first rate cut of 2024.

Elsewhere, a lot of gains were seen in the stocks from the tech-heavy S&P 500 amid positive earnings and the AI boom.

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