Dow Jones futures remain choppy, TWTR and investment banks (GS) (MS) soar


  • Dow Jones futures are trading flat on Thursday ahead of the market open.
  • Dow Jones futures made gains on Tuesday but the Nasdaq led the way.
  • Dow Jones futures are still stuck in a range pattern with no breakout insight.

Dow Jones futures advanced on Wednesday as risk assets saw inflows despite another record high reading for the Producer Price Index (PPI). Investors it seems have become largely immune to inflation shocks now and bond yields fell for the second straight day on Wednesday. That was despite a high CPI number on Tuesday and the PPI on Wednesday. Bond market positioning as we have pointed out has become overdone and a pullback was likely. We see this set to continue.

Dow Jones futures news

Thursday sees strong results from the investment banking giants, Goldman Sachs (GS) and Morgan Stanley (MS) as they benefit from the surge in volatility in financial markets as a result of the Ukraine crisis. Wells Fargo by comparison was not so positive as mortgage lending slowed on the back of higher interest rates. This is an early warning system for house prices and the overall US economy but will take time to play out. Usually, Wells and other commercial banks would be expected to benefit from rising yields but only if lending growth remains stable. Of course, the big news is Elon Musk upping the ante in the battle for Twitter (TWTR). He has now bid $54.20 cash for 100% of the company and has threatened to walk away if he does not get approval. Twitter (TWTR) stock spiked close to $53 on the news of the offer but has since retraced slightly. 

Dow Jones futures forecast

34,664 remains our short-term pivot and this could be in danger on Thursday. Above and we feel a move to 35,752 is more likely. 

Dow Jones futures chart, daily

Dow Jones futures chart, daily

On the short-term 15-minute chart below we can identify strong support now at 34,012. Below and a move to sub 33,000 is likely.

Dow Jones futures chart, 15 minute

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

EUR/USD holds above 1.0400 in quiet trading

EUR/USD holds above 1.0400 in quiet trading

EUR/USD trades in positive territory above 1.0400 in the American session on Friday. The absence of fundamental drivers and thin trading conditions on the holiday-shortened week make it difficult for the pair to gather directional momentum.

EUR/USD News
GBP/USD recovers above 1.2550 following earlier decline

GBP/USD recovers above 1.2550 following earlier decline

GBP/USD regains its traction and trades above 1.2550 after declining toward 1.2500 earlier in the day. Nevertheless, the cautious market mood limits the pair's upside as trading volumes remain low following the Christmas break.

GBP/USD News
Gold declines below $2,620, erases weekly gains

Gold declines below $2,620, erases weekly gains

Gold edges lower in the second half of the day and trades below $2,620, looking to end the week marginally lower. Although the cautious market mood helps XAU/USD hold its ground, growing expectations for a less-dovish Fed policy outlook caps the pair's upside.

Gold News
Bitcoin misses Santa rally even as on-chain metrics show signs of price recovery

Bitcoin misses Santa rally even as on-chain metrics show signs of price recovery

Bitcoin (BTC) price hovers around $97,000 on Friday, erasing most of the gains from earlier this week, as the largest cryptocurrency missed the so-called Santa Claus rally, the increase in prices prior to and immediately following Christmas Day. 

 

Read more
2025 outlook: What is next for developed economies and currencies?

2025 outlook: What is next for developed economies and currencies?

As the door closes in 2024, and while the year feels like it has passed in the blink of an eye, a lot has happened. If I had to summarise it all in four words, it would be: ‘a year of surprises’.

Read more
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures