NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Retreat As Traders Focus On Auto Tariffs

SP500

SP500 is losing ground as U.S. President Donald Trump will announce tariffs on the auto industry today. The details of the new tariffs will be revealed by President himself. Traders worry that another round of trade wars will put pressure on economic growth and lift prices, forcing the Fed to be more hawkish to fight inflation. Today, traders also focused on the Durable Goods Orders report for February. The report showed that Durable Goods Orders increased by +0.9% month-over-month, compared to analyst forecast of -1%. Durable Goods Orders Ex Transp grew by +0.7%, compared to analyst consensus of +0.2%.  The pullback is broad, and most market sectors are moving lower in today’s trading session. Consumer defensive stocks gained ground amid rising demand for safe-haven assets. Energy stocks have also managed to move higher as traders focused on the continuation of the rally in the oil markets.

Currently, SP500 is trying to settle below the support at 5700 – 5710. If SP500 declines below the 5700 level, it will head towards the next support level at 5590 – 5600.

NASDAQ

NASDAQ is under strong pressure amid sell-off in the tech sector. Tesla and NVIDIA, which are down by roughly 6%, are among the biggest losers in the NASDAQ index today.

NASDAQ has recently moved below the support at 19,950 – 20,000 and is trying to get below the 50 MA at 19,821. In case this attempt is successful, NASDAQ will head towards the next support level at 19,600 – 19,650.

Dow Jones

Dow Jones is losing some ground amid broad pullback in the equity markets. The pullback is not strong as Dow Jones is supported by rising demand for consumer defensive stocks. Procter & Gamble and Coca-Cola are the best performers in the Dow Jones index today.

If Dow Jones stays below the 42,500 level, it will move towards the 50 MA at 42,021. A move below the 50 MA will push Dow Jones towards the support at 41,700 – 41,800.

For a look at all of today’s economic events, check out our economic calendar.