Global stocks hold steady ahead of Fed decision, earnings from AI stalwarts
SPY•Global stocks were little changed ahead of a Federal Reserve decision and earnings from Microsoft and Alphabet. US stocks opened narrowly mixed, while New Zealand’s central bank unexpectedly held rates at 2.75%, sending the kiwi down more than 1.3%.
1. Markets await key events
Global stocks were little changed on Wednesday as investors awaited the Federal Reserve’s policy decision and results from Microsoft and Alphabet, due after the US market close. US stocks opened narrowly mixed, with the Nasdaq slightly lower and the S&P 500 slightly higher.
2. AI spending in focus
Investors are watching for signs of changes in capital spending and evidence that companies are generating returns on their AI investments. Expectations are for the Fed to leave rates unchanged, though analysts cited in the article anticipate at least two dissenting voices from policymakers.
3. New Zealand holds rates
The Reserve Bank of New Zealand unexpectedly kept rates at 2.75% in a narrow vote, sending the kiwi down more than 1.3% in its biggest one-day fall since mid-March. Oil prices also rose after an attack on a refinery in Saudi Arabia renewed concerns about supply risks in the Middle East.
