On Tuesday, U.S. stock markets remained relatively stable as investors assessed new labor data and corporate announcements in anticipation of the Federal Reserve's imminent policy decision. The S&P 500 closed with minimal changes, while the Nasdaq recorded a slight uptick; meanwhile, the Dow Jones Industrial Average declined by 0.3%. This drop came in part due to JPMorgan's 4.7% loss after its management estimated 2026 expenses to reach approximately $105 billion, surpassing analyst projections and thus negatively impacting banking sector stocks.
Labor data painted a mixed picture, with job openings increasing to approximately 7.67 million in October. This increase aligns with the Federal Reserve's data-sensitive approach, despite widespread market expectations for a 25 basis points interest rate cut later this week. In other news, Nvidia saw a 0.3% decline following reports that China might restrict domestic purchases of H200 chips, even as the U.S. sanctioned their export with a 25% surcharge. Additionally, Home Depot shares fell by 1.3% due to its provision of modest growth guidance for 2026 earnings.
Investors also kept a close eye on developments in the entertainment sector, particularly the actions of Paramount, which gained 0.5%, and Netflix, which dipped 0.1%, both in relation to their ongoing interest in acquiring Warner Bros., which saw a 3.8% increase.
