The Dow Jones (DJIA) is trading higher on Wednesday as the Supreme Court decides the fate of President Trump’s tariffs.
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Trump administration lawyer John Sauer faced several tough questions during the tariff hearing, such as why the International Emergency Economic Powers Act (IEEPA), the legal authority Trump cited to invoke the tariffs, didn’t explicitly mention tariffs. In the event the Supreme Court rules against the tariffs, Trump may refer to other laws to enact tariffs, such as Section 122 of the Trade Act of 1974. That could give him the power to enforce 15% tariffs for 150 days.
The hearing has led to the odds of Trump winning the case falling by 8% to 31% during the past 24 hours on prediction platform Polymarket. Treasury Secretary Scott Bessent previously warned that the U.S. could face a refund bill of up to $1 trillion if Trump is unable to proceed with the tariffs.
Meanwhile, the Dow Jones received a boost after October’s ADP private payrolls notched a gain of 42,000, higher than the estimate of 30,000 and rising for the first time since July. “Last month delivered a rebound from two months of weak hiring, but the bounce wasn’t broad-based,” said ADP. “Education and health care, and trade, transportation, and utilities led the growth.” The sectors that experienced job losses include information, professional and business services, manufacturing, and leisure and hospitality.
Fed Governor Stephen Miran said the ADP report was a “welcome surprise,” although he continued to advocate for another rate cut by year-end.
“Anything can happen between now and December,” said Miran in an interview with Yahoo Finance. “There could be new information, there could be surprises, there could be shocks.”
The Dow Jones is up by 0.65% at the time of writing.
Which Stocks are Moving the Dow Jones?
Let’s pivot to TipRanks’ Dow Jones Heatmap, which illustrates the stocks that have contributed to the index’s price action.
Nvidia (NVDA) is leading all tech stocks to the upside and is potentially getting a sympathy bid from competitor Advanced Micro Devices (AMD), which reported better-than-expected earnings. On the other side is Microsoft (MSFT), which is down by about 1% today and 4% during the past week.
Meanwhile, Amgen (AMGN) is surging after announcing $9.56 billion in third-quarter revenue, well above the analyst estimate of $8.97 billion. Following the news, Piper Sandler reiterated its AMGN stock price target of $342 and “overweight” rating.
Elsewhere, Caterpillar (CAT) is in the green after UBS hiked its price target to $581 from $506. Earlier this week, the machinery company held its investor day event and raised its revenue and profit margin guidance.
DIA Stock Moves Higher with the Dow Jones
The SPDR Dow Jones Industrial Average ETF (DIA) is an exchange-traded fund designed to track the movement of the Dow Jones. As a result, DIA is rising alongside the Dow Jones today.
Wall Street believes that DIA stock has room to rise. During the past three months, analysts have issued an average DIA price target of $528.79, implying upside of 11.63% from current prices. The 32 holdings in DIA carry 31 buy ratings, one hold rating, and zero sell ratings.
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