2024-09-16 23:56:30
The Dow Jones hit a new all-time high in today’s session as investors await Wednesday’s Fed meeting and the first rate cut since 2020.
THE Dow Jones strengthened by 228.30 points or 0.55% ending at the record level of 41,622.08 points. THE S&P 500 rose 0.13% to 5,633.09 units, while on the contrary Nasdaq fell 0.52% to 17,592.13 points.
Apple’s stock fell about 3 percent after analysts at various banks, including Bank of America and JPMorgan, noted that shipping times could indicate less demand for iPhone 16 Pro models than last year.
Shares of processor makers also closed lower, including Nvidia, which lost 2% of its value, Broadcom, which fell 2%, and Marvell Technology, which fell 1.5%.
However, the S&P 500 is about 1% away from July’s all-time high and could, according to analysts, touch a new all-time high within the week. After a rocky start to the month, the three major stock indexes closed higher last week, with the S&P 500 and Nasdaq posting their best weekly performance since 2024.
The Fed is expected to cut interest rates for the first time since it began its monetary policy tightening cycle in March 2022. The expected cut will be a crucial move, as many analysts hope such a decision could reduce costs business lending and improve the growth rate of corporate profitability.
The Federal Reserve’s key interest rate is in the range of 5.25% to 5.5% and the market is currently giving a 59% chance of a 50 basis point rate cut.
The financials and energy sector gained 0.9%, while the information technology sector fell 0.7%, being the biggest losers in today’s session.