Nasdaq 100 and Nikkei 225 steadier, while Dow looks to make gains
Investors continue to digest the impact of the DeepSeek AI news, though the Dow has shown notable resilience compared to its tech-heavy cousins.
Nasdaq 100 calm after Monday’s slump
Buyers came in to defend the lows yesterday, with the Nasdaq 100 index’s rout halted around the 20,600 level that marked the low in mid-January.
The price has been unable to push higher overnight, but it has avoided further losses for the time being. However, investors remain nervous, and it may take some time for the selling to play out. A recovery above 21,500 would help support the view that a low is in for the time being.
Dow takes AI panic in its stride
The Dow Jones was a relative safe haven yesterday, thanks to the lower weighting of tech stocks.
The index recovered more quickly than the S&P 500 and was able to hit a new one-month high. Further gains target the 45,000 record high zone. 44,000 was strongly defended yesterday, so a close below this might mark the beginning of a more substantial pullback.
Nikkei 225 stabilises after losses
Monday saw sharp losses for the Nikkei 225 index, which dropped briefly below 39,000, and also touched the 200-day simple moving average.
Some buying was seen at the lows, though it was not as strong as that seen in US indices. The price is holding above 39,000 in trading this morning, and a close above 39,500 might signal that a new push higher is underway.
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