S&P 500 briefly hits 7,000, Nasdaq gains, Dow Jones steady after Fed interest rate decision as gold price soars – here's how US stock market performed today
US stock market today: The S&P 500 briefly hit 7,000 on Wednesday, marking a new intraday milestone, before closing slightly down at 6,978.03, the Dow Jones Industrial Average added 12.19 points, or 0.02%, finishing at 49,015.60, while the Nasdaq Composite outperformed with a 0.17% gain, ending the session at 23,857.45, as per a report.
US Stock Market Today Ends Mixed After Fed Holds Interest Rates Steady
Investors were digesting the Federal Reserve’s latest decision to keep interest rates unchanged at a target range of 3.5% to 3.75%. The Fed highlighted that economic activity has been “expanding at a solid pace” and noted that the unemployment rate has “shown some signs of stabilization,” as per a CNBC report.
Jerome Powell Says Monetary Policy Is Not Significantly Restrictive
Fed Chair Jerome Powell commented that current data does not suggest policy is significantly restrictive.
Will the Fed Rate Pause Continue
Jed Ellerbroek, portfolio manager at Argent Capital Management, pointed out that the Fed is likely to stay on hold through the end of Powell’s tenure in May.
He said, “There’s a little bit of tension between inflation being a little bit higher than they want and unemployment rising, and so they’re in a roughly neutral position, and they’re comfortable sitting there until the data changes and forces them to pick a side,” adding, “The ball moves into President Trump’s court now, because he will be nominating the new Fed chair,” as quoted by CNBC.
Chip Stocks Lift Markets on Strong AI-Driven Earnings
Earlier in the session, the S&P 500 was boosted by gains in chip stocks following strong earnings. Seagate Technology shares jumped 19% after reporting better-than-expected revenue and earnings, driven by high demand for AI data storage. Semiconductor equipment maker ASML also reported record orders and issued strong 2026 guidance, though its stock reversed earlier gains and fell 2%.Ellerbroek noted that while AI-related semiconductor demand remains strong, other sources of semiconductor demand, such as automotive, industrial, and telecom, have been weaker. He said, “The story for 2023, 2024, most of 2025 was AI-related semiconductors — awesome, great demand. All the other semiconductor-demand sources, whether that be auto or industrial or telecom, etc. — weak. That has shifted now,” adding, “Demand is well in excess of supply really everywhere at this point within semiconductors,” as quoted by CNBC.
Microsoft, Meta, Tesla, and Apple Earnings in Spotlight
Investors are now focusing on major tech earnings, with Microsoft, Meta Platforms, and Tesla reporting earnings after the bell on Wednesday, followed by Apple on Thursday. Outside of tech, Starbucks shares slipped 0.6% after reporting first-quarter earnings that missed expectations, although its revenue exceeded forecasts.
Which S&P 500 Stocks Hit New 52-Week Highs
On Wednesday, 32 stocks in the S&P 500 traded at new 52-week highs. These include Johnson & Johnson, Northrop Grumman, Lam Research, Micron, and Freeport-McMoRan. Meanwhile, nine stocks hit new 52-week lows, including PayPal, Humana, Zimmer Biomet, Paycom, and Paychex.
Gold Price Today Surged to Best Day Since 2009
Meanwhile, Gold rallied more than 6% on Wednesday, marking its best day since March 2009, amid a weakening dollar and rising geopolitical tensions, as per a Yahoo Finance report. Over the past year, gold has nearly doubled in value, climbing about 97%, supported by central bank purchases and easing Fed policy.
The metal surpassed $5,400 per troy ounce, exceeding a year-end target set by Goldman Sachs.
Gold Prices Prediction: Weak Dollar and Geopolitical Tensions Boost Gold Rally
Saxo Bank’s Ole Hansen suggested the rally may cool if underlying fears do not materialize, while HSBC’s James Steel indicated that further dollar weakness could extend gold’s upward momentum.
Analysts noted that gold could continue rising if the dollar remains weak, with the next resistance level at $5,500, as per the Yahoo Finance report.
FAQs
Why is gold price today rallying?
A weaker dollar, geopolitical tensions, and central bank purchases have driven gold higher.
What did the Fed decide about interest rates?
The Federal Reserve kept rates steady at 3.5% to 3.75%.