NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Rallies On Anthropic IPO Filing

SP500 Moves Higher As Traders React To Anthropic IPO Filing

SP500 gains ground as traders focus on Anthropic IPO filing. The company expects to start trading on NASDAQ under the ticker ANT.

Meta said that it would raise $95 billion by offering common and preferred stock. The company needs money to invest in AI.

Anthropic’s upcoming IPO and Meta’s stock offering will test market’s demand for AI-related companies. AI is the key topic in the markets, so the fate of these attempts to raise capital will have a major impact on SP500 dynamics.

Today, traders also focused on the situation in the Middle East. Officials from Saudi Arabia, Turkey, and Pakistan went to Tehran in an attempt to defuse tensions in the region. Iran supports Houthis, who are attacking Saudi Arabia, so the presence of the country’s officials in the delegation showed that it was a serious attempt to restart negotiations.

It remains to be seen whether Saudi Arabia will achieve any results. It is not clear whether Iran – Saudi Arabia talks can have an impact on U.S. – Iran negotiations. Oil prices moved away from session highs as traders reacted to the news, but the pullback was not strong.

The yield of 2-year Treasuries climbed above the 4.71% level as bond traders prepared for Fed Interest Rate Decision, which would be announced on October 28. FedWatch Tool indicates that Fed will keep the federal funds rate unchanged, but traders will focus on signals from Fed Chair Warsh.

Traders also had a chance to take a look at the Dallas Fed Manufacturing Index report. The report indicated that Dallas Fed Manufacturing Index increased from 9.8 in September to 13.4 in October, compared to analyst consensus of 7.

Tech stocks were among the biggest gainers in the SP500 index today. Industrials and consumer cyclical stocks have also managed to gain upside momentum. Communication services and consumer defensive stocks found themselves under pressure.

Currently, SP500 is trying to settle above the 50 MA at 7702. In case this attempt is successful, SP500 will move towards the nearest resistance level at 7720 – 7730. A successful test of this level will open the way to the test of the next resistance at 7780 – 7790.

NASDAQ Tests Resistance At 29,250 – 29,300

NASDAQ gained upside momentum amid rising demand for tech stocks. Tesla, which was up by +5.8%, was among the biggest gainers in the NASDAQ index today.

NASDAQ attempts to settle above the resistance level at 29,250 – 29,300. In case NASDAQ manages to settle above the 29,300 level, it will head towards the 50 MA at 29,495. A move above the 50 MA will open the way to the test of the next resistance at 29,700 – 29,750.

Dow Jones Stays Range-Bound

Dow Jones gained ground in choppy trading. The pullback in healthcare stocks put some pressure on the Dow Jones index today.

In case Dow Jones settles below the support level at 52,300 – 52,400, it will head towards the next support, which is located in the 51,700 – 51,800 range. On the upside, a move above the 52,500 level will open the way to the test of the resistance level at 52,800 – 52,900.

For a look at all of today’s economic events, check out our economic calendar.