The Dow Jones Industrial Average finished the day slightly lower on trade concerns but is still on pace for its best week in two years. Stocks traded broadly lower after The South China Morning Post reported that the administration’s trade hawk, Peter Navarro would attend the Trump-Xi dinner. Navarro, a hardliner on China originally was sidelined for the meeting after clashing with Trump’s top economic advisor Larry Kudlow.
US stocks did rebound off session lows after the Wall Street Journal reported that Washington would hold off on further tariffs and the two sides would discuss big changes in Chinese economic policy under the deal. Current expectations heading into the G-20 are for no major breakthroughs, but maybe a truce amongst White House and China. The US dollar was saw limited moves against most of its major trading partners.
Healthcare stocks continue shine almost doubling the performance of the broader market. During the tech collapse over the past two months, some money managers shifted into more defensive plays, such as healthcare and consumer staple stocks.
Price action on the 30-stock index shows that the recent rally is tentatively finding resistance from both the 50- and 100-day Simple Moving Averages. If we continue to see softness, initial support may come from the 25,070 level, with major support coming from the 24.750 level. If the Dow is able to rise and take out the psychological 26,000 level, key resistance will come from the 26,750-27,000 zone.
Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.
Ed Moya
His particular expertise lies across a wide range of asset classes including FX, commodities, fixed income, stocks and cryptocurrencies.
Over the course of his career, Ed has worked with some of the leading forex brokerages, research teams and news departments on Wall Street including Global Forex Trading, FX Solutions and Trading Advantage. Prior to OANDA he worked with TradeTheNews.com, where he provided market analysis on economic data and corporate news.
Based in New York, Ed is a regular guest on several major financial television networks including CNBC, Bloomberg TV, Yahoo! Finance Live, Fox Business, cheddar news, and CoinDesk TV. His views are trusted by the world’s most respected global newswires including Reuters, Bloomberg and the Associated Press, and he is regularly quoted in leading publications such as MSN, MarketWatch, Forbes, Seeking Alpha, The New York Times and The Wall Street Journal.
Ed holds a BA in Economics from Rutgers University.
Latest posts by Ed Moya (see all)
- Market Insights Podcast – Powell struggles to deliver a hawkish hold - 1 November 2023
- Fed React: USD/JPY softer after Fed fails to deliver hawkish hold - 1 November 2023
- EUR/USD: Dollar wavers on slower pace of Treasury Refunding Sales and mixed labor data - 1 November 2023