NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Retreat As Traders Focus On Powell’s Remarks

SP500

SP500 is under pressure as traders react to Fed Chair Powell’s remarks and economic reports. Powell said that Fed did not have to rush to cut interest rates. The Retail Sales report indicated that Retail Sales increased by 0.4% month-over-month in October, compared to analyst forecast of +0.3%. Industrial Production declined by 0.3% month-over-month in October, in line with analyst estimates. Today, traders also had a chance to take a look at the NY Empire State Manufacturing Index report. The report showed that NY Empire State Manufacturing Index improved from -11.90 in October to 31.20 in November, compared to analyst consensus of -0.7. Overall, traders are worried that Fed will be less dovish than previously expected, so they continue to take profits off the table near historic highs.

Currently, SP500 is trying to settle below the support at 5880 – 5890. In case this attempt is successful, SP500 will head towards the next support level, which is located in the 5800 – 5810 range.

NASDAQ

NASDAQ is losing ground amid profit-taking in tech stocks. Healthcare stocks have also found themselves under material pressure as traders focused on Trump’s decision to pick Robert F. Kennedy Jr. to be the next secretary of the Department of Health and Human Services.

NASDAQ settled below the previous support at 20,700 – 20,800 and continues to move lower. If NASDAQ settles below the 20,400 level, it will move towards the next support level, which is located in the 20,000 – 20,100 range.

Dow Jones

Dow Jones retreats amid broad pullback in the equity markets. Amazon, which is down by 4.8%, is the worst performer in the Dow Jones index today.

The nearest support level for Dow Jones is located in the 43,200 – 43,300 range. A move below the 43,200 level will push Dow Jones towards the next support at 42,400 – 42,500.

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