- Microsoft and Meta estimate Q1 estimates, which fuel Ai-link Stock Surge and TECH led by the Dow Rally.
- ISM manufacturing PMI contracts; The claims of unemployment have hit the highest since February, increasing slowing concerns.
- The price of markets at 94 bps of fed cuts for 2025; 2-year yield signal of the policy of moving ahead.
The Dow Jones Industrial Average (DJIA) Rallied for more than 100 points, or 0.24%, on Thursday after large tech companies posted reports of strong income, ignoring surveys emphasizing the continued slowdown of economics in the United States. At the time of writing, the DJIA holds firmly to nearly 40,600 after hitting the sun -high 41,096.
Djia climbed as a sentiment of Big Tech, offsetting fears of backward and weak without jobless claims
Meta platforms (Meta) and Microsoft (MSFT) posted strong revenue reports for the first quarter of 2025. Meta reported revenues per part (EPS) of $ 6.43, above the estimates of $ 5.28, with a revenue of more than $ 41.4 billion to $ 42.31 billion. On the Microsoft side, the EPS raised $ 3.46, from $ 3.22 expected, while market revenue jumped from $ 68.42 billion to $ 70.07 billion.
One day after the revenue release, Microsoft's sharing reached 8%, while the meta stock moved about 4%. The results have pulled the stocks of companies related to artificial intelligence (AI) such as NVIDIA (NVDA).
Dow's advancement has somewhat cultivated data from the Institute for Supply Management, which revealed that PMI of April contracted the most in the last five months, down from 49 in March, which arrived at 48.7, above the common forecasts of 48.
Labor market data has also been weak because the initial claim of unemployment for the past week has increased to the highest since February. The number of Americans who filed for unemployment benefits this week ending April 26 is 241K, more than 224K expected and up to 223k a week ago.
Thursday's data has increased concerns about a possible retreat in the US, following data from the Commerce department that describes the contracting of the US economy by 0.3%. This and the weakness of the labor market painted a dark perspective for the release of nonfarm payroll (NFP) numbers on Friday.
The Fed is expected to cut the rates
Data from the Chicago Board of Trade (CBOT) shows the Swaps Market that expects 94 basis for the end of the year's end, as revealed by the December 2025 Fed Fed Funds Rate Futures Contract.
US secretary of US Treasury Scott Bescent has suggested that the 2-year-old resources yields to cut Fed rates.
DOW JONES PRICE PRICE
Dow Jones remains down bias even when bulls have found some relief after cleaning a 20-day simple transfer of average (SMA) of 39,705. DJIA reached a weekly peak at 41,096, shy to try 50-day SMA at 41,331. The failure to do so was exacerbated by a pullback prepared to drag the index to 40,500.
A violation of the latter could expose 40,000 levels followed by a challenge of April 23 of 39,486, leading April 22 high 39,271 that closes the space witnessed between April 22 and 23.
Conversely, the Bulls will claim 41,000 and look for a test of ceiling levels above. The first resistance was the 50-day SMA, followed by the 200-day SMA at 42,277 and the 100-day SMA at 42,503.
Dow Jones FAQs
The average industry of Dow Jones, one of the oldest stock market indices in the world, is combined with 30 most traded stocks in the US. The index is weighted price than the weight of capitalization. It is calculated by summarizing the prices of the scope of the scope and dividing them by a factor, currently 0.152. The index was founded by Charles Dow, which also established the Wall Street Journal. In the coming years it is criticized for not widely representative as it only monitors 30 conglomerates, unlike wider indices such as S&P 500.
Many different factors are driving the Dow Jones (DJIA) industrial average. The combined -performance of companies companies revealed in quarterly companies revenue reports is the main one. US and global macroeconomic data are also contributing because it affects the investor's feelings. The level of interest rates, set by the Federal Reserve (FED), also influences the DJIA as it affects the cost of credit, where many corporations are highly dependent. Therefore, inflation can be a major driver as well as other metrics that affect Fed's decisions.
Dow theory is a method for recognizing the basic trend of the stock market developed by Charles Dow. One key step is to compare the direction of the Dow Jones Industrial Average (DJIA) and the Dow Jones Transportation Average (DJTA) and just follow the trends in which both move in the same direction. Volume is a confirmation standard. The theory uses elements of peak and trough analysis. Dow's theory brings three phase phases: accumulation, when smart money begins to buy or sell; Public participation, when the wider public is joined; And distribution, when smart money comes out.
There are a number of ways to exchange DJIA. One is the use of ETFs that allow investors to exchange DJIA as a single security, rather than buy sharing with all 30 constituents. A leading example is the SPDR DOW Jones Industrial Average ETF (DIA). DJIA futures contracts give entrepreneurs to think of future index value and options provide correctly, but not the obligation, to buy or sell the index at a predetermined price in the future. Both funds give investors to buy a portion of a darling -daring portfolio of DJIA stocks thus providing exposure to the general index.
