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Stock Market Record Highs Ahead of Big Tech Earnings and Fed Meeting

The US stock market mostly rose on Tuesday, with the S&P 500 reaching a new record close of 6,978.60, driven by optimism in the tech sector and positive memory chipmaker news. The Nasdaq Composite increased nearly 1%, while the Dow Jones declined about 0.8%, mainly due to a 20% drop in UnitedHealth shares after Medicare rate proposals. Investors are awaiting the Federal Reserve's policy decision, widely expected to keep interest rates steady, with markets watching for signals on future rate cuts. Major tech companies—Meta, Microsoft, Tesla, and Apple—are set to report earnings, with Tesla's Q4 preview highlighting key catalysts like robotaxis, full self-driving, and humanoid robots. Gold prices held above $5,000 amid a weaker dollar, geopolitical tensions, and investor interest in hard assets, with forecasts suggesting further gains. Amazon plans to close its Amazon Fresh and Go stores to focus on delivery and Whole Foods expansion, aiming to open over 100 new Whole Foods locations. Pinterest announced a 15% workforce reduction and increased AI investment, causing its stock to fall 9%. Natural gas futures declined after a forecast of another winter storm impacting the US East Coast, which could further strain energy supplies. Defense contractor RTX confirmed it will continue paying dividends despite political criticism and executive orders restricting such payouts. Consumer confidence dropped to its lowest level since 2014, reflecting inflation concerns and economic uncertainty. Meanwhile, Goldman Sachs reports investor risk appetite is at its highest since 2021, supporting positive equity outlooks. The week also features earnings reports from major corporations like GM, American Airlines, and Micron, alongside macroeconomic events including the Fed's policy meeting and ongoing geopolitical developments.

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