Dow Jones futures gain despite market caution after US strike on Iran
Dow Jones futures advance 0.53% above 50,900 during European hours ahead of the US regular opening on Tuesday. Meanwhile, the S&P 500 rise 0.54% toward 7,550, and the Nasdaq 100 futures gain 0.73% above 29,750.
  • Dow Jones futures appreciate despite increased risk aversion following the US self-defense strikes in southern Iran.
  • Trump stated that negotiations to end the conflict and reopen the Strait of Hormuz are "proceeding nicely.”
  • The CME FedWatch tool shows markets pricing a 41% chance of a 25-basis-point Fed rate hike by year-end.

Dow Jones futures advance 0.53% above 50,900 during European hours ahead of the US regular opening on Tuesday. Meanwhile, the S&P 500 rise 0.54% toward 7,550, and the Nasdaq 100 futures gain 0.73% above 29,750.

US stock futures rise despite market caution after the United States (US) forces conducted self-defense strikes in southern Iran on Monday, targeting missile launch sites and Iranian vessels attempting to deploy mines. While the US military emphasized its commitment to protecting its forces, it maintained that it was still exercising restraint during the ceasefire.

US President Donald Trump cautioned that a collapse in talks could trigger fresh military attacks, even as a Pakistani mediator reportedly informed China that an agreement was close. However, traders track diplomatic progress on a potential peace agreement between the United States (US) and Iran. Bloomberg reported on Monday that President Trump stated negotiations toward a deal to end the conflict and reopen the Strait of Hormuz were "proceeding nicely.”

Traders may adopt caution due to fears of an energy-driven inflation shock, strengthened expectations that the Federal Reserve (Fed) may tighten monetary policy. According to the CME FedWatch tool, market participants are now pricing in a nearly 41.0% probability that the Fed will implement a 25-basis-point interest rate increase by the end of the year. Market attention is now turning toward the upcoming PCE inflation data for clearer signals on the Fed’s future policy path.

Dow Jones FAQs

The Dow Jones Industrial Average, one of the oldest stock market indices in the world, is compiled of the 30 most traded stocks in the US. The index is price-weighted rather than weighted by capitalization. It is calculated by summing the prices of the constituent stocks and dividing them by a factor, currently 0.152. The index was founded by Charles Dow, who also founded the Wall Street Journal. In later years it has been criticized for not being broadly representative enough because it only tracks 30 conglomerates, unlike broader indices such as the S&P 500.

Many different factors drive the Dow Jones Industrial Average (DJIA). The aggregate performance of the component companies revealed in quarterly company earnings reports is the main one. US and global macroeconomic data also contributes as it impacts on investor sentiment. The level of interest rates, set by the Federal Reserve (Fed), also influences the DJIA as it affects the cost of credit, on which many corporations are heavily reliant. Therefore, inflation can be a major driver as well as other metrics which impact the Fed decisions.

Dow Theory is a method for identifying the primary trend of the stock market developed by Charles Dow. A key step is to compare the direction of the Dow Jones Industrial Average (DJIA) and the Dow Jones Transportation Average (DJTA) and only follow trends where both are moving in the same direction. Volume is a confirmatory criteria. The theory uses elements of peak and trough analysis. Dow’s theory posits three trend phases: accumulation, when smart money starts buying or selling; public participation, when the wider public joins in; and distribution, when the smart money exits.

There are a number of ways to trade the DJIA. One is to use ETFs which allow investors to trade the DJIA as a single security, rather than having to buy shares in all 30 constituent companies. A leading example is the SPDR Dow Jones Industrial Average ETF (DIA). DJIA futures contracts enable traders to speculate on the future value of the index and Options provide the right, but not the obligation, to buy or sell the index at a predetermined price in the future. Mutual funds enable investors to buy a share of a diversified portfolio of DJIA stocks thus providing exposure to the overall index.

Mais de um milhão de usuários confiam na FXStreet para dados de mercado em tempo real, ferramentas de gráficos, insights de especialistas e notícias de Forex. Seu calendário econômico abrangente e webinars educacionais ajudam os traders a se manterem informados e tomarem decisões calculadas. A FXStreet conta com uma equipe de cerca de 60 profissionais, divididos entre a sede em Barcelona e diversas regiões globais.
Ler mais

COTAÇÕES AO VIVO

Nome / Símbolo
Gráfico
% Variação / Preço
GBPUSD
Variação 1 dia
+0%
0
EURUSD
Variação 1 dia
+0%
0
USDJPY
Variação 1 dia
+0%
0

TUDO SOBRE FOREX

Explore Mais Ferramentas
Academia de Trading
Navegue por uma ampla gama de artigos educacionais cobrindo estratégias de trading, insights de mercado e fundamentos financeiros, tudo em um só lugar.
Saiba Mais
Cursos
Explore cursos de trading estruturados projetados para apoiar seu crescimento em cada etapa de sua jornada de trading.
Saiba Mais
Webinar
Participe de webinars ao vivo e sob demanda para obter insights de mercado em tempo real e estratégias de trading de especialistas da indústria.
Saiba Mais