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- Dow Jones rose 650 points on Thursday, climbing to 41,750.
- The Trump administration has announced an initial trade deal with the United Kingdom.
- The actual details of the Trade Agreement still leave a wide tariff on most goods.
The DJIA Industrial Index (DJIA) gained land on Thursday, climbing more than 650 points or 1.6 % at its peak after the Trump administration announced an incoming commercial deal (but it is still not signed) with the United Kingdom (UK). Under the commercial deal, most imports from the UK will continue to witness a 10 % tariff in all fields, but the markets take the news as a sign that the Trump administration will continue at least to back down from its own tariff over time. However, short -term bullish feelings have proven, with the main stock index returning to the opening offers today near 41370.
Investors still hope to obtain a quick decision for the escalating trade war between the United States and China, which increases import taxes by 145 % on most goods from China. However, the chances of a quick solution to the definitions of China are still low. According to President Trump, he has no interest in walking on sharp import fees on Chinese goods, and the Chinese administration was slow to create commercial talks. The delegates from the two countries are scheduled to hold an initial meeting to discuss the details of trade this week in Switzerland. However, policy makers on both sides expected expectations from immediate progress.
The deadline for the tariff waving on the horizon, progress in commercial deals remains slow
The deadline on July 9 for the Trump administration “stop” its self -imposed on “mutual definitions” is rapidly approaching. The markets still have that the Trump administration will be able to ink with enough commercial deals that will reduce the damage caused by harsh import taxes. However, progress remained slow, and although President Trump insists several weeks ago that his administration is in commercial negotiations with more than 200 countries, progress appears to be not present. The commercial deal in the United Kingdom, which was announced on Thursday, is still not signed and unofficial, as Donald Trump stated that his administration must have “very conclusive” in the coming weeks.
Read more stock news: Nasdak is advancing as a commercial deal with the United Kingdom
Dow Jones price expectations
Bull Run, which was signed by the trade on Thursday, prepared Dow Jones to the high side of the 200 -day SIA moving average (EMA) near 41600 for the first time since early April. The main stock index rose more than 14 % after the bottom near 36615, and also in early April.
Dow Jones has almost ended the fully recovery from RISORD TOUB that pulled DJIA to 42,175. However, the bullish momentum is still generally lukewarm, and technical oscillator is fully installed in the peak purchase lands, which strongly means that the Dow Jones battle with EMA for 200 days may not end yet.
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.
