The New York Stock Exchange saw a mix of gains and losses on Wednesday as U.S. stocks attempted to recover from the previous day’s downturn. The S&P 500 was up 0.2%, the Dow Jones Industrial Average was down 0.1%, and the Nasdaq composite rose by 0.4%.
One of the standout performers of the day was GE Aerospace, which surged 7.2% following the split of its power and energy business from the General Electric conglomerate. Cal-Maine Foods also saw a 4.1% increase in its stock price after reporting stronger-than-expected profits due to record egg sales.
However, Intel experienced a 7.5% drop after disclosing financial details about its money-losing foundry business. The Walt Disney Co. also faced a 2.6% decline after shareholders rejected an activist investor’s bid to join the board.
Investors are closely monitoring the Federal Reserve’s interest rate decisions, with expectations for rate cuts diminishing as the U.S. economy continues to show resilience. Fed Chair Jerome Powell emphasized the importance of balancing rate cuts to avoid triggering inflation.
Despite concerns about the economy’s strength potentially limiting rate cuts, a report showing moderate growth in U.S. services businesses and lower inflationary pressures provided some relief to investors. However, a stronger-than-expected private sector hiring report added to uncertainties about the Fed’s future actions.
As markets await the U.S. government’s comprehensive job market report on Friday, traders are adjusting their expectations for interest rate cuts. The bond market also saw yields decline, while European and Asian markets experienced mixed performances amid global economic uncertainties.