SP500 is losing ground as Trump revealed tariffs on several countries. U.S. will impose 25% tariffs on goods from Japan and South Korea. Same tariffs will be imposed on Kazakhstan and Malaysia. Tariffs on South Africa goods will be set at 30%. The new tariffs will go into effect on August 1, 2025. Donald Trump noted that any retaliation will be met with additional tariffs. U.S. dollar tested weekly highs as traders reacted to the news. Treasury yields have also moved higher, which was bearish for stocks. It should be noted that the pullback is broad, and all market sectors are losing ground in today’s trading session.
The nearest support level for SP500 is located in the 6185 – 6195 range. In case SP500 manages to settle below the 6185 level, it will head towards the next support level at 6090 – 6100.
NASDAQ is under pressure as traders focus on the tariff announcement. From a big picture point of view, traders continue to take profits off the table after the strong rally.
Currently, NASDAQ is trying to settle below the support at 22,550 – 22,600. In case this attempt is successful, NASDAQ will head towards the next support level at 22,250 – 22,300. RSI is in the moderate territory, and there is plenty of room to gain additional downside momentum in the near term.
Dow Jones moved lower amid broad pullback in the equity markets. Walmart, which was up by 0.7%, was the only gainer in the Dow Jones index today.
From the technical point of view, Dow Jones did not manage to settle above the resistance at 44,600 – 44,700 and moved below the 44,200 level. If Dow Jones settles below this level, it will get to the test of the nearest support at 43,900 – 44,000.
For a look at all of today’s economic events, check out our economic calendar.
Vladimir is an independent trader, with over 18 years of experience in the financial markets. His expertise spans a wide range of instruments like stocks, futures, forex, indices, and commodities, forecasting both long-term and short-term market movements.