Federal Reserve opens two-day meeting as Wall Street awaits rate decision

Washington — The Federal Reserve opened its two-day meeting on Tuesday, at the end of which it will announce its interest-rate decision tomorrow, on a day when markets opened higher, buoyed by better-than-expected corporate earnings.

Dow Jones and S&P 500 futures were up about 0.2% in the morning, while Nasdaq futures rose 0.4%, according to Investopedia. All three major indexes had closed Monday with gains, lifted by technology shares after Anthropic filed paperwork for its public offering.

Among the day's results, UPS, Royal Caribbean and Coca-Cola beat expectations, as did Celestica, a data-center supply chain provider whose shares jumped more than 12% in premarket trading after it raised its outlook on strong artificial intelligence demand. Chip stocks such as Micron and Broadcom also rose.

On the technology front, Nvidia announced late yesterday that it will invest $3 billion in Meta's equity offering, as part of an expanded partnership in which Meta will use more of Nvidia's infrastructure, including its next-generation Vera Rubin line. Nvidia shares were up less than 1% in premarket trading, while Meta's fell slightly.

JetBlue, meanwhile, reported results a day earlier than scheduled, with widening losses but reaffirmed guidance, and its shares rebounded more than 10% in premarket trading after hitting an all-time low the previous day. After today's close, results are expected from Visa and Seagate Technology, the latter buoyed by artificial intelligence demand.

In commodities, WTI crude fell 0.7% to $101.05 a barrel, gold slipped 0.4% to $4,025 an ounce, and bitcoin dropped below $80,000. The yield on the 10-year Treasury note, which affects loan and mortgage rates, stood at 4.98%.

Photo: A Lo Claro Archive

Source: Investopedia