The Dow Jones (DJIA) opened in the red after President Trump announced 30% tariffs on the European Union and Mexico over the weekend. These tariffs are slated to take effect on August 1. However, investors have since bid the index back into positive territory.
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The tariffs took the EU by surprise. “We had the impression that we were very close to an agreement,” said EU trade commissioner Maroš Šefčovič. The 27-nation bloc is now considering imposing tariffs on $84 billion of U.S. goods if trade talks fail.
On Monday, Trump made yet another tariff threat. He said he would enact a 100% secondary tariff on Russia if the country fails to end its war with Ukraine “in 50 days.” A secondary tariff would affect the countries that purchase Russian goods. Russia is a major global producer of energy with key customers like China, India, and the EU.
Tomorrow, the market will receive the latest inflation update through the consumer price index (CPI). Economists expect June inflation to rise by 0.3% month-over-month and 2.6% year-over-year. That would mark an acceleration from May’s monthly and yearly increases of 0.1% and 2.4%, respectively.
The Dow Jones is up by 0.13% at the time of writing.
Which Stocks are Moving the Dow Jones?
Let’s pivot to TipRanks’ Dow Jones Heatmap, which illustrates the stocks that have contributed to the index’s price action.
The technology sector has helped push the index higher in recent weeks, although that isn’t the case today. Instead, financial and industrial stocks are leading the charge on Monday.
Boeing (BA) is in the green after the U.S. Federal Aviation Administration said that the company’s fuel switch locks are safe and not faulty. Meanwhile, both Visa (V) and Goldman Sachs (GS) are up by about 1%.
The lone energy stock in the index, Chevron (CVX), is falling alongside lower oil futures.
DIA Stock Moves Higher with the Dow Jones
The SPDR Dow Jones Industrial Average ETF (DIA) is an exchange-traded fund designed to track the movement of the Dow Jones. As a result, DIA is rising alongside the Dow Jones today.
Wall Street believes that DIA stock has room to rise. During the past three months, analysts have issued an average DIA price target of $477.34, implying upside of 7.40% from current prices. The 31 stocks in DIA carry 30 buy ratings, 1 hold rating, and zero sell ratings.