The Dow Jones Industrial Average (DJIA) index slipped on Friday as the stock market continued to feel the effects of President Donald Trump’s trade war. While the president put a 90-day pause on tariffs for most countries, China tariffs remain in effect.
The President has placed a 145% tariff on China to even out an alleged unfair trade balance between it and the U.S. However, China isn’t backing down and is unwilling to negotiate with Trump to have the tariff removed. Instead, the country announced a 125% tariff on all goods imported from the U.S.
While Trump may reach trade agreements with some countries to avoid tariffs, the ongoing battle with China casts a long shadow over the stock market. This had the Dow Jones index down 0.18% on Friday, which built on its 6.39% drop year-to-date.
Which Stocks Dragged Down the Dow on Friday?
Turning to the TipRanks Dow Jones heatmap tool, traders will see which stocks have the index down on Friday. Salesforce (CRM), Home Depot (HD), Nike (NKE), Disney (DIS), and Chevron (CVX) have done the most damage to the DJIA today.
However, other major stocks, such as Apple (AAPL), Nvidia (NVDA), and JPMorgan Chase (JPM), climbed higher. It’s just not enough to keep the index out of the red.
What’s the Best Way to Invest in the Dow Jones Index?
Investors who are interested in taking a stake in the Dow Jones index will want to turn to exchange-traded funds (ETFs). There are several that track the index, rising and falling when it does. One of the biggest ETFs tied to the DJIA is the SPDR Dow Jones Industrial Average ETF Trust (DIA).
The SPDR Dow Jones Industrial Average ETF Trust has a consensus Moderate Buy rating based on the ratings of the 31 stocks held by it. That comes with an average price target of $449.43, representing a potential 14.02% upside.
