The Dow Jones Industrial Average had a significant drop, the largest in over two years, after the Federal Open Market Committee made a recent decision. This drop resulted in the worst losing streak since 1974, with ten consecutive days of declines.

The index managed to stay above the 42,000 mark in early trading, indicating a potential stabilization. The S&P 500 also faced pressure and reached a one-month low but is currently holding around mid-November levels. If further losses are avoided, there is a possibility of a recovery towards recent highs, although only 8% of the index's components are trading above their 20-day moving average.

If there are additional declines, the index could move towards pre-election lows at 5,700. On the other hand, the Nikkei 225 experienced a sharp rebound from overnight lows and surged back above 39,000. This recovery positions the index to test the critical 40,000 level, with strong buying support observed around 38,000, which acted as a support level in late November.