The Dow Jones Industrial Average (DJIA) is slipping today despite investors preparing for the upcoming Federal Reserve meeting. Traders have been waiting for this meeting as it will be a major catalyst for the stock market. That’s due to hope the Fed will announce an interest rate cut after the meeting, which is scheduled for Dec. 17 and Dec. 18.
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Experts predict the central bank will lower interest rates by 25 basis points after this week’s meeting. If that happens, it would likely be a positive catalyst for the stock market and the Dow Jones Industrial Average index.
Even with that hope, the Dow Jones is down 0.06% currently after rallying this morning. Even with this drop, the index is still up 16.29% year-to-date.
Dow Jones Stock Movement Today
Looking at the Dow Jones heatmap, investors can see what’s holding the index back today. UnitedHealth (UNH) has been an ongoing troublemaker since the Theompson assassination earlier this month with shares down over 3% today. Also causing problems are Verizon (VZ) and Chevron (CVX), both of which are down more than 2%. International Business Machines (IBM) also isn’t helping with its more than 1% decline on Monday afternoon.
How Do Traders Invest in the Dow Jones Industrial Average?
The Dow Jones is an index, meaning investors can’t take a stake in it directly. Instead, one option available to traders is buying shares listed on the exchange.
Another option is investing in exchange-traded funds (ETFs) that track the Dow Jones Industrial Average. A few examples include SPDR Dow Jones Industrial Average ETF Trust (DIA), ProShares UltraPro Dow30 (UDOW), iShares Dow Jones Industrial Average UCITS ETF (IDOWF), First Trust Dow 30 Equal Weight ETF (EDOW), and ProShares UltraPro Short Dow30 (SDOW).
