Traders work on the floor of the New York Stock Exchange on July 23, 2025 in New York City.
Spencer Platt | Getty Images
Stocks were higher Wednesday as investors analyzed fresh earnings and awaited the Federal Reserve’s interest rate decision.
The S&P 500 rose just 0.2%, while the Nasdaq Composite advanced 0.4%. The Dow Jones Industrial Average added 40 points, or 0.09%.
Shares of artificial intelligence bellwether Nvidia climbed nearly 2%, helping lift the technology-heavy Nasdaq. Shares of Meta Platforms and Microsoft were both marginally higher ahead of quarterly results due out after the closing bell on Wednesday.
Investors remain largely on standby ahead of the Fed’s interest rate decision. Fed funds futures are pricing in a nearly 98% likelihood of the central bank keeping its key rate at a range of 4.25% to 4.5%, according to CME Group’s FedWatch tool.
The announcement is set for 2 p.m. ET. At 2:30 p.m. ET, investors will parse Chair Jerome Powell’s comments at a press conference for insights into the path of monetary policy. Trump has tried to pressure the central bank leader to bringing down borrowing costs.
“Despite increased political scrutiny, Fed Chair Jerome Powell continues to signal patience around any interest rate decision,” said Jerry Tempelman, vice president of fixed income research at Mutual of America Capital Management. “Financial markets do not anticipate any change in monetary policy from the Federal Reserve until at least September.”
A stronger-than-expected reading of U.S. gross domestic product did little to shift investor attention away from interest rates and the stream of corporate earnings. The U.S. economy grew at a 3% clip in the second quarter, the Commerce Department said Wednesday, while economists polled by Dow Jones were looking for 2.3% in the April-through-June stretch.
Wednesday’s action follows a losing day on the Street, marking the first session of the last seven in which the S&P 500 did not close at an all-time high.
The major averages were weighed down as the progress of U.S. trade talks with China became shaky. U.S. negotiators ended discussions with Beijing, and the potential extension of a pause on higher China tariffs remained uncertain. A postponement of these higher rates won’t be final until President Donald Trump signs off on the plan, U.S. negotiators said. Trump on Wednesday asserted that his Friday deadline is firm, and also said India will now pay a 25% tariff.
Wall Street will get more earnings after the bell Wednesday, with Meta Platforms and Microsoft set to report.
