- The Dow Jones fell back below 43,000 on Tuesday.
- Markets softened after reaching new records earlier this week.
- Weakness in the tech sector is dragging equities down, despite overall strong earnings reports.
The Dow Jones Industrial Average slipped on Tuesday after reaching a new all-time high earlier in the day, falling back below the significant 43,000 level. This decline was influenced by weakness in the semiconductor, healthcare, and energy sectors.
Earnings season is in full swing, with approximately 80% of reporting companies exceeding analyst expectations. However, notable disappointments from key healthcare and semiconductor firms have cast a shadow over the positive earnings trend.
Looking ahead, the economic calendar remains light until Thursday's release of September’s Retail Sales figures, prompting investors to focus on appearances by Federal Reserve policymakers throughout the week. The energy sector also faced pressure after the US secured assurances that Israel would not target Iranian crude oil or nuclear facilities amid ongoing geopolitical tensions in the Middle East.
Dow Jones News
Despite a pullback in major sectors dragging down equity indexes, most Dow Jones-listed stocks were trading in positive territory on Tuesday, with losses largely concentrated among a few. Boeing (BA) rebounded by 2.3%, trading above $152 per share after recovering from a low below $147 earlier in the week.
In contrast, UnitedHealth Group (UNH) fell nearly 7%, dropping below $565 per share after revising its full-year earnings outlook downward. Intel (INTC) also declined over 2%, falling below $23 per share following a bearish reaction to an early release of quarterly earnings by Dutch semiconductor producer ASML (ASML). While ASML exceeded performance expectations, it highlighted unexpected weakness in the semiconductor market, particularly affecting chipmakers. ASML’s revised guidance for 2025 indicates a potential slowdown in tech sectors related to chipboards and AI technology.
Dow Jones Price Forecast
Despite Tuesday’s downturn, the Dow Jones continues to achieve new highs, hitting an intraday peak of 43,175 before bearish sentiment in key equities pulled it back below 43,000.
Although the index shed roughly one-third of a percent on Tuesday, it remains firmly in bullish territory, up nearly 15% year-to-date. The DJIA has consistently outperformed the 200-day Exponential Moving Average (EMA) since November 2023, which is now rising above 39,400.
Dow Jones Daily Chart
