The Dow Jones (DJIA) is in positive territory to kick off the trading week as investors assess the odds of another government shutdown.
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Several Senate Democrats have said they will vote against a $1.2 trillion funding bill unless appropriations for the Department of Homeland Security (DHS) are removed from it. Over the weekend, the fatal shooting of 37-year-old Alex Pretti in Minneapolis by Border Patrol agents sparked outrage from the public, with Democrats demanding DHS reform.
“The appalling murders of Renee Good and Alex Pretti on the streets of Minneapolis must lead Republicans to join Democrats in overhauling ICE and CBP to protect the public,” said Senate Minority Leader Chuck Schumer. Six of 12 appropriation bills have already received approval from both the Senate and the House. The remaining six are grouped together, with Democrats proposing a separation of DHS funding from the bill in order to avoid another shutdown. However, Republicans haven’t responded favorably to the suggestion.
The odds of a government shutdown by January 31 have spiked in response to the news, rising to 80% compared to just 10% on Friday on prediction platform Polymarket.
Meanwhile, U.S. durable goods orders for November spiked higher by 5.3% month-over-month, beating the consensus estimate of 3.8% and registering the highest level of growth in six months. Notably, new orders for non-defense aircraft increased by 97.6%, with Boeing (BA) announcing 164 orders during the month. Furthermore, core durable goods orders, which excludes transportation, ticked higher by 0.5% and beat the estimate of 0.3%.
The Dow Jones is up by 0.45% 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.
Nvidia (NVDA) is slightly in the red after announcing an investment of $2 billion in CoreWeave (CRWV) for $87.20 per share. The investment will build onto an existing partnership to help CoreWeave build over five gigawatts of AI factories by 2030.
Meanwhile, Magnificent 7 peer Apple (AAPL) is up by over 2% after announcing a new AirTag with expanded range for $29. In addition, JPMorgan raised its AAPL price target to $315 from $305. Excluding NVDA, all other tech stocks in the Dow Jones are trading higher today.
Elsewhere, industrials are leading the index lower, while all four consumer cyclical stocks are trading higher, highlighted by Home Depot (HD) and McDonald’s (MCD).
Is DIA Stock 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 $551.02, implying upside of 11.81% from current prices. The 30 holdings in DIA carry 30 buy ratings, zero hold ratings, and zero sell ratings.