- The Dow Jones won 550 points after Tuesday’s fall.
- The shares remain warm while investors expect signs of relief in the tensions of the commercial war.
- The services of the PMI of Services exceeded expectations, but the numbers of PUMMs of ADP did not reach the goal.
The industrial average Dow Jones (DJIA) bounced after the pronounced two -day drop of this week, recovering land while investors try to hold the market. The actions suffered a blow after the president of the United States (USA), Donald Trump, finally let his own tariffs on Canada, Mexico and China come into force, but investors expect another round of concessions and delays to relieve pressures of the commercial war.
The changes in the use of ADP in USD arrived well below expectations, showing much less new jobs in February than the mediums of the market predicted. ADP showed only 77,000 new net additions of employment in February, well below the March 186,000 figure, and failing the provision of 140,000. In spite of the negative figure, not all hope is lost for the report of non -agricultural payroll (NFP) this week: the monthly ADP employment change has had a terrible non -correlation streak with the NFP results since ADP changed its report methodology and measurement in 2022, so a bad or good figure does not indicate much of anything.
The Trump administration is doing hard work for all this week, with the White House declaring Wednesday that it would grant a month delay in tariffs for the automotive industry. The US cars manufacturing industry depends largely on foreign trade, which forces Donald Trump to retroactively declare a brief exemption for the automotive industry of his own country while his team rushes to find out how to impose severe tariffs on all the closest commercial partners of the United States without devastating his own economy.
Dow Jones News
Most of the values ​​listed in the Dow Jones are testing the high side on Wednesday, seeking to carry out a recovery after the weakness inspired by this week’s tariffs. Chevron (CVX) fell 1.8% at its lowest point, sliding below $ 150 per share after the Trump administration removed its license to operate in Venezuela. Apparently, Trump’s team feels that Venezuelan president Nicolás Maduro has not done enough to reform the country’s electorate to the US image and is not generally willing to accept deported migrants who may or may not be really Venezuelans.
Dow Jones price forecast
Dow Jones managed to stop bleeding this week, at least for now. The price action is struggling to try to keep a foot at the level of 43,000 after capturing an abrupt rebound from the level of 42,400.
The Djia is dangerously close to making physical contact with the 200 -day exponential mobile average (EMA) in more than two years. However, the 200 -day EMA is beginning to show signs of deceleration, which could give the bidders the opportunity to gather their feet under them and continue the tendency to overcome the key mobile average.
Dow Jones daily graphics
FAQS tariffs
Although tariffs and taxes generate government income to finance public goods and services, they have several distinctions. Tariffs are paid in advance in the entrance port, while taxes are paid at the time of purchase. Taxes are imposed on individual taxpayers and companies, while tariffs are paid by importers.
There are two schools of thought among economists regarding the use of tariffs. While some argue that tariffs are necessary to protect national industries and address commercial imbalances, others see them as a harmful tool that could potentially increase long -term prices and bring to a harmful commercial war by promoting reciprocal tariffs.
During the election campaign for the presidential elections of November 2024, Donald Trump made it clear that he intends to use tariffs to support the US economy. In 2024, Mexico, China and Canada represented 42% of the total US imports in this period, Mexico stood out as the main exporter with 466.6 billion dollars, according to the US Census Office, therefore, Trump wants to focus on these three nations by imposing tariffs. It also plans to use the income generated through tariffs to reduce personal income taxes.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
