- The Dow has the potential to make it to (***********************************************************************, ********************************************************************************** in just a few days as earnings season unfolds.
- President Trump’s China trade deal is likely to factor into the Dow’s rally.
- Strong economic data and good news from Boeing could push the index over the (**********************************************************************, 000 milestone.
The Dow Jones Industrial average pushed its way above 29, 01 again on Wednesday as earnings season continued to add buoyancy to the index.
This isn’t the first time the Dow has made its way above (*************************************************************************, 07, but this time it looks like the momentum could finally drive the index to (*************************************************************************, 000. *******
****** That momentum should continue through the end of the week. as therest of the financial sector delivers earnings.
Railroad firm and economic bellwether CSX (NASDAQ: CSX) is due to report on Thursday. If the firm’s results come in at or above expectations, it would be a shot in the arm for traders as it suggests economic strength and adds to the argument that a strong earnings season is unfolding.
Later in the month, Dow heavyweights Apple (NASDAQ: AAPL), Amazon (NASDAQ: AMZN), and Microsoft (NASDAQ: MSFT) are all due to report.
Market-Friendly Pivots in U.S. Politics
Another key part of the Dow’s march toward (****************************************************************, will be Donald Trump. Not only is Trump notorious for getting traders riled up with his tweets, but he’ssigning the “phase one ”Trade dealwith China on Wednesday.
As long as all goes to plan, markets are likely to breathe a collective sigh of relief as the two nations make an important first step toward easing trade tension indefinitely.
Over the past few months, the market has been trading feverishly on Trump’s tweets regarding progress on a phase one deal. Investors can expect that Trump will start to talk up phase two, which has the potential to pump up the Dow even further.
Plus, Trump is likely to start campaigning harder for re-election, which should bringpromises of further tax cuts
A Recovery in Economic Data
January also offers a host of economic data from around the globe that has the potential to spur on investor confidence.
Thursday’s
************Impressive retail sales results would increase investor appetites. | Source:Trading Economics
********** Retail sales are seen rising between 0.3% and 0.6%, but if the figures come in above that range, it would indicate a stronger than expected holiday shopping season. That would translate to impressive Q4 results among retailers as well.A Rebound from Dow Giant Boeing
Things have been going from bad to worse at Boeing (NYSE: BA), where internal documents have been seen as evidence of a lacking safety culture within the company.
The firm’s annual ordersa – year lowafter cancelations outweighed new orders. Importantly, the news didn’t take BA stock meaningfully lower, suggesting investors have accepted and processed the pain that Boeing is in.
This article was edited byJosiah Wilmoth.
() ************************************************
GIPHY App Key not set. Please check settings