Stocks were on track to open a touch higher Wednesday as investors shrugged off a rally in oil prices ahead of the Federal Reserve’s July interest-rate decision. Dow Jones Industrial Average futures climbed 41 points, or 0.1%. This could be a crucial day for the market, with the Fed set to announce its policy decision and mega-cap tech companies Meta and Microsoft due to report earnings after the closing bell.
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Hard economic data, not proactive guesswork, drive Federal Open Market Committee (FOMC) policy decisions.
Investors braced for a Fed decision, a flood of earnings, and a potential reescalation in the war with Iran.
After back-to-back days of outperformance this week, the Dow Jones Industrial Average has nudged ahead the other major U.S. benchmarks for the month and year as well. On a year-to-date basis, the Dow is up 9.7%, holding a small lead over of the S&P 500, which is up 8.5%, and the tech-heavy Nasdaq composite, which is up 7%. The Nasdaq yesterday flirted with trading in correction territory, or 10% below a recent high.
The tech-driven Nasdaq is selling off amid shifting investor sentiment toward artificial intelligence (AI) spending.
Semiconductor stocks slid Tuesday amid concerns that overheated AI spending and intensifying US-China chip competition could affect the robust pipeline of venture-backed chip startups already lined up to go public. The market’s volatility could push those startups to delay going public, said PitchBook senior analyst Harrison Rolfes. Following SpaceX‘s historic offering and with OpenAI and Anthropic already waiting in the wings, many late-stage startups were already considering taking advantage o

<body><p>STORY: Wall Street's main indexes closed mixed on Tuesday with the Dow gaining 1%, the S&P 500 edging up about two-tenths of a percent and the Nasdaq dipping by roughly two-tenths of a percent.</p><p>Markets have been volatile this month as investors worry that Microsoft, Amazon and other tech heavyweights may be overspending on data centers in the race to build out AI infrastructure.</p><p>But Nancy Tengler, CEO and chief investment officer of Laffer Tengler Investments, said to expect these companies to announce more AI spending when they report quarterly results this week.</p><p>"Make no mistake, we're in an AI arms race. I think you will continue to see spending. I think you'll actually see companies increase spending next year and then things will normalize and stabilize... We're focused on adding to the US names because you can't have a situation where companies are penalized for spending, i.e. the hyperscalers, and companies are penalized for being on the receiving end to the spending, Micron, chip names. At some point, this will come, regress to the mean and we'll start to pay attention to fundamentals."</p><p>Shares of Microsoft rose ahead of its report on Wednesday, while Amazon dipped before its results on Thursday.</p><p>Shares of Apple closed almost 1% higher, though they rose nearly 2% during the trading session and briefly exceeded a $5 trillion market valuation for the first time. The iPhone maker reports its results on Thursday.</p><p>Outside of technology, shares of Coca-Cola rallied 5% after the beverage company raised its annual revenue and profit forecasts.</p><p>:: Archive</p><p>And shares of Boeing jumped nearly 5% after the airplane maker generated positive free cash flow as its turnaround plans gained momentum.</p><p>Meanwhile, the Federal Reserve is due to announce its interest-rate decision at the conclusion of its two-day policy meeting on Wednesday. Traders see about a 70% chance that the central bank will leave rates unchanged, according to CME's FedWatch tool.</p></body>
In the most recent trading session, Rocket Lab Corporation (RKLB) closed at $63.89, indicating a -4.56% shift from the previous trading day.
The latest trading day saw Sigma Lithium Corporation (SGML) settling at $9.49, representing a -4.62% change from its previous close.
In the most recent trading session, ChargePoint Holdings, Inc. (CHPT) closed at $5.34, indicating a -1.29% shift from the previous trading day.
In the closing of the recent trading day, Whirlpool (WHR) stood at $38.48, denoting a +2.26% move from the preceding trading day.
Pacific Biosciences of California (PACB) reached $1.39 at the closing of the latest trading day, reflecting a +2.21% change compared to its last close.
In the latest trading session, DaVita HealthCare (DVA) closed at $239.46, marking a +1.33% move from the previous day.
In the closing of the recent trading day, HCI Group (HCI) stood at $179.27, denoting a +1.89% move from the preceding trading day.
Vertex Pharmaceuticals (VRTX) closed the most recent trading day at $490.39, moving +2.38% from the previous trading session.
The latest trading day saw Clear Secure (YOU) settling at $53.84, representing a +1.15% change from its previous close.
Blue Bird (BLBD) concluded the recent trading session at $73.89, signifying a -2.83% move from its prior day's close.
Take-Two Interactive (TTWO) reached $247.62 at the closing of the latest trading day, reflecting a +1.5% change compared to its last close.
On Holding (ONON) reached $37.89 at the closing of the latest trading day, reflecting a +2.24% change compared to its last close.
Raoul Pal posted something on X on Monday that cuts through most of what passes for Bitcoin analysis right now. The Real Vision CEO and macro investor shared a single data point that reframes the entire conversation about what drives crypto prices. Bitcoin is 87 percent correlated to global ...
The market has been spooked by concerns of tech giants’ ballooning spending and signs that China may be catching up in the AI arms race. Asian chip stocks plunged, sending South Korea’s Kospi index 10% lower and Japan’s Nikkei down 4%. The worst-hit American names included memory makers Sandisk which fell another 14%, and Micron, which shed 8.9%.
U.S. stocks finished mixed as a rout in chip stocks continued while falling oil prices boosted consumer stocks.
US equity indexes were mixed Tuesday as crude oil prices fell and semiconductor stocks led a pullbac
The Dow left the Nasdaq in the dust again on Tuesday. The Nasdaq fell 0.2%. The Dow was led by a wave of strong earnings performances including Sherwin-Williams, but a majority of S&P 500 stocks were up all day.