In October, the Dow Jones Industrial Average had a tough month as traders continued to worry about the state of corporate earnings. In the month, while most companies reported better-than-expected quarterly earnings, the impact of the ongoing trade war led to many of these companies to lower the guidance.
This month, the Dow has started the month by gaining. Month-to-date, the index has gained by more than 4%. While it remains lower than where it was before the slide, the index has done well to recover most of the losses.
Part of the reason for the gains is the fact that traders are optimistic about trade ahead of the G20 meeting which will take place in Argentina later this month. Last week, Trump said that he had talked intensively with his Chinese counterpart and said that a new meeting will happen at the sidelines of the G20 meeting. It later emerged that Trump had asked his top policy officials to draft a deal that will be signed at the meeting. The policy will be drafted by officials from multiple government agencies because it will involve multiple issues.
Yesterday, the Dow ended the day at $25,483. This was close to the intraday high of $25,675. With the earnings season coming close to an end, the Dow will likely continue to move up. However, this will depend on the outcome of today’s mid-term elections.
The post Why You Need to Watch Out for Dow Ahead of the Elections appeared first on Forex.Info.
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