NASDAQ Index, SP500, Dow Jones Forecasts – Stocks Dive As Traders Focus On Greenland Crisis

SP500

SP500 is under pressure as traders react to U.S. attempts to take control over Greenland. Treasury yields moved higher as Danish pension fund announced that it would sell U.S. Treasuries. According to the fund, U.S. government finances are not sustainable. AkademikerPension held about $100 million in Treasuries, so the sale would not put any material pressure on the market. However, the mention of U.S credit risks amid political crisis over Greenland highlights new risks for investors. U.S. Treasury Secretary Scott Bessent downplayed Greenland-related risks. However, EU members may try to put pressure on the U.S. by selling U.S. assets, which would mark a new level of escalation. It should be noted that this scenario remains hypothetical, although stock traders are worried that the situation may quickly get out of control. Today’s pullback was broad, and most market sectors found themselves under pressure in today’s trading session. Basic materials stocks were among the gainers today as traders reacted to the rally in precious metals markets.

Currently, SP500 is trying to settle below the support level at 6800 – 6810. In case this attempt is successful, SP500 will move towards the next support, which is located in the 6730 – 6740 range.

NASDAQ

NASDAQ pulled back as traders rushed to sell tech stocks amid rising geopolitical risks. Strategy, which was down by 7.2%, was the biggest loser in the NASDAQ index today. The stock suffered a sell-off as Bitcoin moved below the $90,000 level.

In case NASDAQ manages to settle below the 25,000 level, it will head towards the nearest support at 24,800 – 24,850.

Dow Jones

Dow Jones tested new lows amid broad pullback in the equity markets. 3M, which was down by 7.4% after the release of the earnings report, was the biggest loser in the Dow Jones index today.

If Dow Jones declines below the 48,500 level, it will head towards the next support at 47,900 – 48,000.

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