The Dow Jones Industrial average took a bit of a hit early this week, largely on the heels of yet another sharp sell-off of Boeing shares. Fortunately, strong, low-volume showings from Microsoft and Visa are helping to buoy the index. Indeed, in the early afternoon on Tuesday, at least five of the thirty components in the index rose at least a point. This includes Visa and Microsoft, of course, but also American Express, Apple, Home Depot, and the struggling UnitedHealth Group as well.
Still, Boeing’s near 30 point drop—which is about 7 percent—pushed the blue chip index down 0.3 percent within the next few hours.
All in all, the Dow Jones Industrial Average closed down more than 96 points, at 25,554.66. Boeing contributed about 150 of the point drop. This definitely implies that Boeing was the reason for the index’s decline.
Sure enough, when you look at the rest of the market, it is easy to see that there is definitely some nice upward momentum. For example, Apple was up one percent, which helped the Standard & Poor’s 500 closed 0.3 percent higher (at 2,791.52), mostly led by utilities and health care sector gains. As a matter of fact, tech stocks are having their best showing of the year, with a 15.3 percent jump. In addition, the Nasdaq Composite increased by 0.44 percent, to 7,591.03.
Among the four biggest leaders in the Dow Jones, financial transaction provider Visa hit its stride at 150.29 with shares up 1.3 percent.
But the market may also be propped up by a rise in the US consumer price index. Indeed, inflation was up 0.2 percent last month, which is right in line with analyst expectations. However, the core CPI elements—excluding food and energy—fell a little short, with a 0.1 percent gain.
With that, too, the Federal Reserve continues its patience when it comes to raising rates. And this continues to prove a good strategy as it fueled a strong rally in the market at the top of the year, resulting in the S&P 500 jumping 11.36 percent and the Dow gaining 9.55 percent by close of day, on Tuesday.