On Wednesday, U.S. stock indices showed resilience as market participants anticipated an improved corporate environment in light of an expected interest rate cut by the Federal Reserve the following week. While the S&P 500 experienced modest gains, the Dow Jones Industrial Average jumped by over 300 points. The technology-focused Nasdaq 100, however, remained relatively unchanged. Speculation that the Fed will reduce rates by 25 basis points at its upcoming meeting grew stronger, particularly after ADP's data surprisingly indicated a dip in private-sector employment for November.
Defensive and traditional sectors within the stock market mainly saw upward movement. Notably, Wells Fargo and Citigroup each increased by approximately 2%, setting a positive tone for the banking sector. United Healthcare saw a 4% rise, leading gains among health insurance firms. Additionally, Marvell Technology rose by over 4% following a favorable datacenter growth forecast.
Conversely, Microsoft, which initially faced a sharp decline, scaled back some of those losses but still ended the day down by 2%. This dip was fueled by rumors that the company might reduce its sales personnel's quotas.
