The Dow Jones (DJIA) rose more than 1% on Tuesday as investors reacted to new updates in the U.S.-Iran war and stronger-than-expected consumer confidence data from the Conference Board (TCB).
Claim 30% Off TipRanks
Trade QQQ with leveragePresident Donald Trump is considering ending military operations against Iran even if the Strait of Hormuz remains largely closed, according to the Wall Street Journal. Sources familiar with the matter noted that his main goal is to weaken Iran’s military presence and that reopening the strait could take longer than the initial operation timeline of four to six weeks.
Instead, Trump could turn to allies to allow oil to flow freely through the strait again. “I have a suggestion for you: Number 1, buy from the U.S., we have plenty, and Number 2, build up some delayed courage, go to the Strait, and just TAKE IT,” he said in a Truth Social post.
The near standstill at the strait has led to gas prices surpassing $4 a gallon for the first time since 2022. Higher fuel costs are beginning to weigh on consumers, with rising inflation expectations and concern over broader economic conditions pressuring discretionary spending. In addition, average 12-month inflation expectations rose to their highest levels since August 2025, according to TCB.
At the same time, the Consumer Confidence Index rose by 0.8 points to 91.8 in March, topping the consensus estimate of 87.9. The rise was driven by improving views on current and future business conditions and a slight uptick in current labor market conditions.
The Dow Jones is up by 1.77% 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.
Five of the six stocks in the tech sector, the largest group in the Dow Jones, are trading higher. Nvidia (NVDA) is leading to the upside after the company announced a $2 billion investment into Marvell Technology (MRVL).
Meanwhile, all stocks in the consumer cyclical and healthcare sectors are in positive territory. This morning, Amazon (AMZN) announced that it would replace American Express (AXP) with U.S. Bancorp (USB) as the issuer for its Prime Business card and Amazon Business card.
Elsewhere, Chevron (CVX) is continuing to rise alongside higher oil prices, bringing its year-to-date return to 36%.
Is the Dow Jones a Good Long-Term Investment?
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 $561.11, implying upside of 22.71% from current prices. The 30 holdings in DIA carry 30 buy ratings, zero hold ratings, and zero sell ratings.