This Is Why the Dow Jones Just Suffered a Harsh Reversal, Crypto Coins News
The Dow Jones fell on Monday, in part because coronavirus’ economic impact is expected to linger.
Trump’s plans to reopen the economy are a worry for the stock market as China reports an uptick in new cases.
Four of the Dow’s member stocks release earnings this week.
The Dow Jones staggered out of the gate on Monday, losing more than points on the eve of the first round of earnings for the new decade.
With plenty of optimism that the coronavirus has peaked in New York, stock markets must evaluate potential lockdown exit strategies, none of which are likely to be as swift as President Trump hopes.
Dow Jones Struggles as Wall Street Eyes Trump Plans With Caution
The Fed’s balance sheet has Increased by almost USD 2trn over the past four weeks, which is one obvious reason why bond, credit, and equity markets have performed almost in tandem recently. If too much money chases too few assets, it will inevitably have a positive effect on asset prices.
It remains to be seen if the Fed becoming the lender and buyer of last resort can sustain the Dow Jones over the long -term. But for now, with the U.S. dollar weakening and volatility dropping, their strategy to support risk assets is bearing fruit.
Dow Stocks: Earnings Season Returns (and So Does Bob Iger)
The Dow was quite a rocky place on Monday , with some heavy losses belying the overall index’s average dip.
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