Wall Street Stays Near Record Highs Tuesday/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Wall Street held steady near record highs Tuesday as the S&P 500 and Dow paused after recent surges. Mixed corporate news and anticipation around Fed Chair Jerome Powell’s speech kept traders cautious. Gold soared past $3,800, reflecting economic uncertainty and rate cut expectations.
Wall Street Market Update Quick Looks
- S&P 500 remained flat, Dow rose 0.3%, Nasdaq dipped 0.1%.
- Nvidia shares fell 1.3% after surging on OpenAI partnership.
- Boeing stock climbed 1.8% on a major Uzbekistan Airways order.
- Kenvue rebounded 5.6% after Tylenol-related autism concerns eased.
- Gold surged past $3,800 per ounce, up 45% in 2025.
- Investors await Fed Chair Powell’s first post-rate-cut remarks.
- U.S. 10-year Treasury yield dipped to 4.13%.
- European markets rose; Asia saw mixed results with Japan closed.
Deep Look:
Wall Street Holds Near Record Highs as Investors Eye Fed Commentary and Global Market Signals
NEW YORK — U.S. stock indexes hovered near their all-time highs on Tuesday, showing signs of stability after a strong and sustained rally. With the Federal Reserve in focus and key economic signals on the horizon, traders exercised caution while markets adjusted slightly from recent gains.
The S&P 500 opened the day flat, remaining virtually unchanged after hitting a record high on Monday. Meanwhile, the Dow Jones Industrial Average rose 146 points, or 0.3%, as of 9:35 a.m. Eastern. The Nasdaq composite dipped by 0.1%, showing a mixed start to the trading session.
All three benchmarks closed at record highs the previous day, extending Wall Street’s 2025 rally as optimism around interest rate cuts and corporate earnings continued to fuel investor enthusiasm.
Nvidia Pullback Offsets Broader Gains
One of the biggest weights on the market was Nvidia, which fell 1.3% Tuesday morning. The tech giant had jumped the day before after announcing a strategic partnership with OpenAI to build out advanced AI data centers. While the collaboration excited tech investors, some profit-taking was expected after the stock’s rapid gains.
Boeing Boosts Dow with Aircraft Deal
Supporting the Dow’s upward movement was Boeing, which rose 1.8% after securing a new international order. Uzbekistan Airways agreed to purchase 14 Boeing Dreamliner jets, with the option to buy eight more. The order signals continued global demand for long-haul aircraft, giving the aerospace sector a much-needed boost amid broader market uncertainties.
Kenvue Rebounds After Trump Remarks
Kenvue, the healthcare spinoff from Johnson & Johnson and maker of Tylenol, surged 5.6%, bouncing back from a selloff on Monday. The drop was triggered by concerns that former President Donald Trump might cite unverified claims linking Tylenol use during pregnancy to autism in children.
Although Trump did mention caution around Tylenol use during pregnancy, he did not introduce new evidence or data, easing investor fears. Kenvue has denied any scientific link between the product and autism, and analysts called Monday’s drop an overreaction.
Gold Soars to All-Time High
The price of gold surged past $3,800 per ounce, continuing a powerful rally that has seen the precious metal rise over 45% so far in 2025. The gold boom reflects a mix of investor anxiety and expectations for looser monetary policy from the Federal Reserve.
Several key factors are pushing gold higher:
- Anticipation of further interest rate cuts.
- Concerns over White House influence on the Fed’s independence.
- Mounting U.S. and global government debt levels.
- Ongoing geopolitical risks and inflationary pressures.
With both equities and commodities on the move, many investors are hedging against long-term instability.
All Eyes on Jerome Powell
Later Tuesday, Fed Chair Jerome Powell is scheduled to speak, marking his first public appearance since the central bank cut interest rates last week — the first such cut in 2025.
At that time, Powell indicated that many Fed officials expected additional rate reductions through year-end and into 2026. However, he also stressed that economic conditions remain fluid and subject to change.
The Fed continues to navigate a delicate balance between stimulating the economy and managing inflation, which has stayed persistently above the 2% target. A key inflation update is due Friday, and economists anticipate a slight uptick in consumer prices, which could influence future Fed decisions.
Treasury Yields Slip
In the bond market, yields on U.S. Treasurys edged lower. The 10-year Treasury yield slipped to 4.13%, down from 4.15% the previous day. Lower yields generally suggest more investor confidence in the bond market and may indicate reduced inflation expectations or slower economic growth.
International Markets Mixed
Global stock markets reflected regional dynamics. In Europe, the CAC 40 in France rose 0.9%, continuing its positive momentum amid a stronger eurozone economy. In Asia, the Hang Seng Index in Hong Kong declined 0.7%, pressured by ongoing concerns over China’s property sector and regulatory tightening.
Japan’s markets were closed for a national holiday, leaving regional trading volumes somewhat lighter than usual.
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