The Dow Jones (DJIA) is trading slightly lower on Monday as investors weigh the impact of rising U.S.-Iran tensions ahead of the ceasefire deadline on Tuesday evening.
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Trade QQQ with leverageOver the weekend, Iran struck two Indian-flagged vessels traveling through the Strait of Hormuz, while the U.S. fired on and seized an Iranian vessel attempting to breach its naval blockade of ships entering and exiting Iranian ports. Both sides accused each other of violating the ceasefire agreement as the waterway remains at a near standstill.
Meanwhile, Vice President J.D. Vance and Special Envoys Steve Witkoff and Jared Kushner are set to travel to Pakistan on Tuesday for a second round of negotiations with Iran. Iran has not yet confirmed its participation in the talks, signaling it wants the U.S. to lift the blockade before engaging in discussions.
President Trump warned that the U.S. would strike Iran’s power plants and bridges if a peace deal isn’t reached, adding that Iran is losing $500 million every day due to the blockade. “IT’S TIME FOR THE IRAN KILLING MACHINE TO END!” he said in a Truth Social post.
Elsewhere, gas prices have surged 35%, or $1.06, since the war began February 28, reviving fears of inflation. U.S. Energy Secretary Chris Wright warned that gas could stay above $3 until 2027, although Trump later refuted his statement. “No, I think he’s wrong on that. Totally wrong,” he told The Hill. Trump also expects prices to begin falling immediately after the war ends.
The Dow Jones is down by 0.16% 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.
Tech is split across the board on Monday, with Apple (AAPL) leading and Nvidia (NVDA) lagging. Software giants Cisco (CSCO) and Salesforce (CRM) are showing relative strength alongside a sector-wide rebound.
Elsewhere, Amazon (AMZN) is in the red, despite receiving positive analyst coverage. Bank of America raised its price target to $298 from $275, while KeyBanc raised its forecast to $325 from $285. The e-commerce and cloud leader is set to report its earnings on April 29.
Several sectors are showing muted price action, including healthcare, communication services, and energy.
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 falling 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 $546.99, implying upside of 10.77% from current prices. The 30 holdings in DIA carry 30 buy ratings, zero hold ratings, and zero sell ratings.