Stocks rise ahead of tech earnings, Fed decision
SPY•Global equities rose as investors awaited earnings from major U.S. technology companies and the Federal Reserve’s policy decision. The S&P 500 gained 0.60%, the Nasdaq rose 1.18%, and oil prices fell nearly $2 a barrel.
1. Stocks gain
MSCI’s global equities gauge rose 0.59% on Tuesday. The Dow added 0.03%, the S&P 500 gained 0.60% and the Nasdaq Composite climbed 1.18%; the Russell 2000 rose 1.2% for a second straight session. Investors were encouraged by AI-related funding announcements from Meta, SpaceX and Broadcom, and Anthropic’s unveiling of its IPO filing.
2. Earnings and rates ahead
Investors are watching this week’s reports from Microsoft, Amazon and Alphabet for signs that AI spending is generating expected returns. The Federal Reserve, European Central Bank and Bank of Japan are all expected to leave interest rates unchanged, with investors focused on policymakers’ comments. Traders are pricing in a Fed rate increase in December.
3. Oil retreats
U.S. crude settled down 1.83% at $99.90 a barrel, while Brent fell 1.67% to $113.88, as investors looked to the prospect of Middle East peace talks. Shipping disruptions kept prices near multimonth highs.
