The session’s results indicate that the selective Dow Jones rose 0.34% to 47,706.37 points, the technological Nasdaq gained 0.80% to 23,827.49, and the broad S&P500 increased 0.23% to 6,890.88.
“The positive dynamics remain,” summarized Angelo Kourkafas from Edward Jones.
“Tomorrow could pave the way for strong progress, with the Fed’s decision on the interest rate,” estimated Jose Torres from Interactive Brokers.
Analysts have been anticipating for weeks that the central bank will cut its benchmark interest rate by a quarter of a percentage point in the meeting that concludes on Wednesday.
“The press conference will truly be what investors are waiting for to get an idea of what might happen in December,” said Angelo Kourkafas.
In his opinion, the consumer price index, released last week coming in below expectations, “truly gave the Fed the ‘green light’ to move in the direction it had announced,” i.e., monetary easing to invigorate the labor market.
Also on Wednesday, after the close, results from several technology conglomerates, such as Microsoft, Alphabet (Google), and Meta (Facebook, Instagram), are expected, while Apple and Amazon will present their figures the following day.
“With high valuations, the room for error is reduced,” and expectations are “very high,” warns Angelo Kourkafas. “But so far, semiconductors and techs have exceeded expectations.”
Jose Torres highlighted that “solid results from major tech companies, along with optimistic predictions in the field of artificial intelligence, will also help investors anticipate next year’s growth.”
He also pointed out that part of the optimistic environment is linked to the prospects of trade dialogue between Washington and Beijing.
