Stocks experienced gains on Tuesday as investors evaluated the latest corporate earnings reports and the Federal Reserve’s timeline for potential rate cuts.
The S&P 500 increased by 0.23% to close at 4,954.23, while the Nasdaq Composite saw a slight uptick of 0.07% to end at 15,609.00. The Dow Jones Industrial Average surged by 141.24 points, or 0.37%, reaching a closing level of 38,521.36.
“The market is grappling with Powell’s statement” regarding the timing of rate cuts and the recent earnings releases, noted Adam Sarhan, CEO of 50 Park Investment. Fed Chair Jerome Powell’s recent comments dampened hopes for a rate cut in March.
Palantir Technologies recorded a substantial 31% surge following a revenue beat in the fourth quarter, while Spotify Technology gained nearly 4% after outperforming expectations and reporting an uptick in Premium subscribers.
Strong earnings from major tech companies, coupled with expectations for imminent rate cuts, have been driving the market higher in recent weeks. Nonetheless, Powell’s statements have tempered expectations for an immediate rate cut, hinting that any cuts may come later than anticipated.
Source (CNBC)
