Djia Trims Recent Gains

last updated on

Djia Trims Recent Gains

Djia Trims Recent Gains, Down By 300 Points

Dow Jones Industrial Average (DJIA) shed almost 300 points on Tuesday even though it started the day in a well-bid tone.

The recent loss has pushed the DJIA below the 43K level, with all the top sectors, such as chips, health, and energy, putting a drag on the index.

Chips Sector Weigh Heavily On Djia

Meanwhile, the earnings season has also started in the US stock markets, with up to 80% of companies reporting better results than the forecast.

However, some weakness was seen in the semiconductor and healthcare companies, which posted surprisingly poor results for Q3.

This is going to be an eventful week for the US equities, with the Retail Sales (September) due on Thursday. Now, the investors are entirely focused on the Fed speakers and what they have to say about the monetary policy.

The energy sector of the DJIA has also eased after the news that no Iranian crude oil infrastructure will be targeted. Although this is a temporary relief, it has still helped lower the oil prices.

Overall, the DIA is facing a downturn on Tuesday, but there's still a chance that the index could hit fresh highs. After all, the DJIA has already touched the 43175 level, which is an all-time high for the index.

The index has since moved lower and is now hovering over the 43K handle, which means the long-term trend is still tilted toward the upside.

Overall, DJIA lost around 0.33% of its value on Tuesday, but it is still hovering in the bullish territory. If we look at its performance, the index has gained almost 15% and is way ahead of its 200 EMA.

In fact, the 200 EMA is having a hard time catching up with the price action, which is a sign of extreme bullish pressure. Now that the rate cuts are rolling in, we can expect more upside in the DJIA.

Trending Stories