U.S. stocks mostly experienced gains on Wednesday as investors continued to evaluate the potential impact of proposed tariffs on the corporate sector, all while anticipating the Federal Reserve's upcoming policy decision. The S&P 500 saw a slight increase, while the Dow Jones Industrial Average climbed by 200 points. The Federal Reserve is anticipated to maintain its current interest rates. However, Chairman Jerome Powell is expected to provide insights regarding how the Federal Open Market Committee (FOMC) is weighing the risks of inflation against the potential for slowed economic growth due to aggressive tariff implementations by the U.S. government.
Concurrently, trade negotiations between the United States and China are scheduled for the weekend, with Treasury Secretary Janet Yellen indicating that the discussions will concentrate on reducing tensions rather than finalizing any agreements.
In corporate news, Disney shares soared by 9% following an unexpected boost in its streaming service subscriptions. Meanwhile, Advanced Micro Devices (AMD) experienced a 3% rise after releasing favorable results. Conversely, Alphabet's stock fell by over 6% after Apple announced intentions to explore AI-driven search engines for its Safari browser, which led to the Nasdaq's underperformance.
