Nasdaq Surges, Dow Jones Wobbles After Retail Sales Data

U.S. stocks continue to rise, benefiting from some factors available in the markets, most notably economic data and some factors related to the trade policies of the Trump administration. The Dow Jones Industrial Average fell to 44,609 points after giving up 100 points, or 0.3%. But the S&P 500 index rose to 6,116 points after adding less than a point, or less than 0.1%. The Nasdaq index of heavy technology industries rose to 19,986 points after adding about 43 points, or 0.3%.

The Dow Jones Industrial Average (DJIA) dipped on Friday, hovering around 44,600 after weaker-than-expected US Retail Sales figures for January spooked investors. While the DJIA is still on track for a weekly gain, concerns are mounting.

January’s Retail Sales contracted by 0.9%, significantly missing the -0.1% forecast, despite an upward revision to December’s data (0.7%). Core Retail Sales also declined, falling 0.4% against a 0.3% prediction. This downturn rattled market confidence. On the positive side, the Export Price Index jumped 1.3%, its highest in 32 months. Industrial Production, while beating forecasts (0.5% vs. 0.3%), was still lower than the previous month’s revised 1.0%.

Looking ahead, markets are closed Monday for President’s Day. Next week’s key events include the release of the Federal Reserve meeting minutes on Wednesday and PMI data on Friday.

Within the Dow, sentiment is largely bearish following the disappointing retail sales report. While energy and banking giants like Chevron (CVX) and Goldman Sachs (GS) saw gains (around 1.6% each), losses elsewhere are pulling the index down. Procter & Gamble (PG) fell 3.4% after citing “recent volatility” impacting food sales growth expectations.

Technically, the Dow is consolidating between 44,000 and 45,000, a range it’s held since mid-January. It’s struggling to break through record highs near 45,070, a level last seen in November. Despite the current bearish sentiment, downside momentum is limited, and a pullback to the 50-day EMA could attract buyers.