Dow Jones surpasses 35000

US stock market stable this week

By Raed Alkhedr | @raedalkhedr | 22 November 2023

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  • Fed indicates continued tightening policy

  • Thanksgiving holiday may affect US stock market trading

  • Dow Jones holds steady above 35,000

Analyzing the economic factors shaping US stock indices

US stock indices closed Tuesday's session with a slight dip, influenced by the Federal Reserve's meeting minutes hinting at a continued tightening of monetary policy. The revealed concerns about persistent inflation led to discussions about additional measures to address the issue, aligning with remarks from Federal Reserve Chairman Jerome Powell.

Despite the emphasis on maintaining sufficient monetary tightening to reach the 2% inflation target over time, the meeting minutes did not touch upon discussions about interest rate cuts. This stance echoed Chairman Jerome Powell's earlier statement that the Fed officials were not currently considering rate cuts.

As the Thanksgiving holiday approaches, the trading activity is expected to be relatively calm, with markets closed on Thursday and an early closure on Friday.

In the trading realm, Dow Jones index futures started the day with a slight increase, hovering near the 35,150-point level.

Key psychological and technical levels influencing the Dow Jones index

Having successfully surpassed the 35,000-point resistance level, the Dow Jones index is currently trading around 35,150 points. Further upward movement may lead to a test of the 35,650-point resistance level, the highest peak in nearly two years.

However, if the index retreats below the strong support zone at 35,000 points, it could signal potential declines towards the 34,400 level. Breaking below this level might extend the decline to the 34,000-point mark.

Dow 22-11-2023