The S&P 500 and Nasdaq achieved record closing highs for the second consecutive day on Tuesday, driven by a substantial 7.3% gain in Apple shares. Apple’s stock surge to a record-high close provided significant support to both indices following a decline in the previous session. Investors are now turning their attention to upcoming consumer prices data and an anticipated policy announcement from the Federal Reserve. The central bank is expected to keep interest rates unchanged but will release updated economic projections and the “dot plot,” indicating policymakers’ future interest rate expectations.
Key Highlights:
- Apple Surge: Apple shares jumped 7.3%, reaching a record-high close.
- Indices Performance:
- S&P 500: Gained 14.53 points, or 0.27%, to 5,375.32.
- Nasdaq Composite: Added 151.02 points, or 0.88%, to 17,343.55.
- Dow Jones Industrial Average: Fell 120.62 points, or 0.31%, to 38,747.42.
- Federal Reserve Outlook:
- Expected to keep interest rates unchanged.
- Will release updated economic projections and “dot plot.”
- Market Sentiment:
- Investors are feeling uneasy but note consumer resilience.
- Stronger-than-expected U.S. monthly jobs report on Friday.
- Reduced expectations for the Fed’s first rate cut in September, with a 50% chance according to CME’s FedWatch tool.
Oliver Pursche, senior vice president and adviser for Wealthspire Advisors, noted that while there is a sense of unease, consumer behavior continues to show resilience, which is generally bullish for the market.