FX.co ★ US Stocks Rally Stalls

On Thursday, U.S. stocks relinquished early advances, with the three principal indices declining by nearly 0.3%. Both the S&P 500 and Nasdaq took a breather after reaching record highs at the opening bell. The consumer discretionary and industrials sectors were the weakest performers, whereas consumer staples showed strength. Investors are gearing up for the imminent third-quarter earnings period. Notably, Apple, Amazon, Alphabet, Tesla, and Walmart each saw declines exceeding 1%. Conversely, PepsiCo experienced a 2.5% rise following revenue and earnings that surpassed expectations. Delta Air Lines surged more than 5% in response to optimistic forecasts extending to the end of 2025. Nvidia increased by 2.4% after the U.S. sanctioned several billion dollars’ worth of its chip exports to the UAE, and Costco Wholesale ascended by 2.9% after announcing stronger-than-expected sales for September. In the meantime, the persistent government shutdown continues to postpone the release of critical economic data. Nevertheless, traders maintain confidence that the Federal Reserve will implement two additional rate cuts before year's end.