Dow Jones Industrial Average (DJIA) caught a fixed bid on Friday, rose 482 points or 1.04%bottom to top. Dow briefly pierced the 47,000 large price handle for the first time ever before lighting back to a more sedat +250 points (0.55%) of the day. Broad-market index winnings were trimmed by a withdrawal of late session in well-known technological names such as Palantir (PLTR), Tesla (TSLA) and NVIDIA (NVDA).
Shares climbing in spite of key data that goes dark
Dow has chalked up another bullish week, closed flat or in the green in a fourth consecutive trade week as the bullish investor sentiment continues. Markets are shaking the US government’s ongoing shutdown of budget, with investors who are sure that the federal closure will be short -lived. Meanwhile, the absence of the most important official working data has limited the available pool of data that the Federal Reserve (Fed) can use to inform its interest decisions, which strengthens the investor’s expectations that Fed will deliver a follow -up quarter point interest rate set up on October 29.
Trump administration chomping by using the federal shutdown as an opportunity to shut down and end entire departments of federal workers within the government, a political step that could put further pressure on the labor market, apparently in a step to trim over -consumption at federal level. Following the DOGE experiment led by former Trump frontman Elon Musk, could not generate the great cost savings promised at the beginning of Donald Trump’s second period, the federal government has overwritten its budget every single month since Trump joined in January.
Missing NFP, the labor market appears to be weakened, strengthening the odds
The Trump Administration’s steps to further reduce federal employment in the midst of the government’s shutdown barking poorly after ADP employment changes sent earlier this week saw DataPoint’s steepest single-month fall of over two years. The latest report on non -yard wages (NFP) has been suspended until the government is shut down and investors expect the lack of data point to limit the amount of data that Fed could use to avoid additional interest rates throughout the year.
Dow Jones Daily Chart
Economic indicator
ISM Services PMI
Institute for Supply Management (ISM) Services Calking Managers Index (PMI) released on a monthly basis is a leading indicator measurement of business activities in the US service sector that makes up most of the economy. The indicator is obtained from a study of supply leaders across the United States based on information they have collected within their respective organizations. Investigative response may reflect the change in the current month compared to the previous month. A reading above 50 indicates that the service economy is generally expanding, a bullish sign for the US dollar (USD). A reading below 50 signals that activity in the service sector is generally declining, which is seen as bearish for USD.
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