Dow Jones has bounced off the one-month low it hit on Thursday, even as it remains below the crucial level of $35,000. The stock market has eased as investors continue to digest Wednesday’s FOMC meeting minutes.
The Fed hinted at tapering its asset purchases before the year’s end. However, the policymakers asserted that the move shouldn’t be seen as a precursor for imminent rate hikes. Notably, the ongoing inflationary pressures, coupled with fears over the Delta variant, will likely curb gains in the stock market.
After entering in the oversold territory on Thursday, Dow Jones is on a corrective rebound. From this perspective, it may be subject to additional looses in the ensuing sessions.
Dow Jones technical outlook
Dow Jones is wavering below the psychological level of 35,000 after extending the week’s losses in the previous session. The index has been on a decline since hitting a record high of 35,637.47 on Monday. Since then, it has declined by about 2.09%.