Fed Holds Rates at 3.75%–4% as S&P 500 Gains 0.28%, Nasdaq 0.27% on Chip and Oil Surge

Mumbai, 29 October 2026: US equities closed modestly higher on Wednesday after the Federal Reserve voted 10–2 to keep its benchmark rate unchanged at 3.75%–4%, while a record profit from SK Hynix and a 3% jump in crude oil shaped sector-level trading across the major indices. The Dow Jones Industrial Average added 97.53 points, or 0.19%, the S&P 500 rose 0.28%, and the Nasdaq Composite gained 0.27%, with semiconductor shares and energy producers leading gains while rate-sensitive real estate and utilities lagged.

Dow Jones Gains 97.53 Points as Energy and Financial Shares Outpace Decliners

The Dow Jones Industrial Average opened at 52,335.43 and closed at 52,475.10, gaining 97.53 points, or 0.19%. The index touched an intraday high of 52,634.32 and a low of 52,335.43. The session range was defined by a sharp split between advancing energy and financial constituents and declining technology and consumer names.

Chevron rose 0.46% and JPMorgan Chase gained 1.03%, while Goldman Sachs advanced 1.53% and American Express added 1.69%, reflecting strength in rate-sensitive financial shares. On the downside, Nvidia fell 1.24%, Apple lost 0.94%, and Nike declined 1.09%, capping the blue-chip index’s advance. The Dow’s move followed the Fed’s decision to hold rates steady despite inflation remaining above target, with two policymakers dissenting in favour of an immediate 25-basis-point hike.

Among Dow components, IBM gained 1.16% and Johnson & Johnson rose 0.98%, while UnitedHealth slipped 0.75% and Merck fell 0.55%, leaving the index with a narrow but positive close. The Dow’s month-to-date gain stood at 1.93%, while its year-to-date advance reached 9.18%, underscoring that the index’s Wednesday move was an incremental extension of a broader October recovery rather than a standalone breakout.

S&P 500 Moves 0.28% as Chipmakers Offset Real Estate Weakness

The S&P 500 opened at 7,735.56 and ended at 7,743.98, gaining 21.38 points, or 0.28%. During the session, the index reached a high of 7,758.43 and a low of 7,718.37. The benchmark’s advance was driven by a concentrated cluster of semiconductor and data-centre infrastructure names, while weakness in real estate and utilities provided a partial offset.

Oracle surged 10.56% after issuing a fiscal 2030 revenue outlook of $225 billion, implying annualised growth of more than 35%, and Micron Technology climbed 5.82% on the back of SK Hynix’s record quarterly profit. Advanced Micro Devices rose 3.20%, Broadcom added 2.71%, and Applied Materials gained 4.95%, while Lam Research advanced 5.34%. Among laggards, Fortinet dropped 5.79%, Now fell 3.04%, and Verizon declined 1.68%.

The index’s closing performance came as the Fed’s post-meeting statement acknowledged that inflation “remains elevated” while upgrading its assessment of economic activity, a combination that supported cyclical and commodity-linked shares without triggering a broad risk-off move. The S&P 500’s month-to-date gain reached 0.78%, while its year-to-date return stood at 13.13%, with the index trading within roughly 1.3% of its 52-week high of 7,844.52.

 The spread between advancing and declining issues on the NYSE remained negative, with decliners outnumbering advancers by a 1.51-to-1 ratio, indicating that the headline gain was narrower than the index-level move suggested.

Also Read: What Is the New York Stock Exchange (NYSE)?

Nasdaq Composite Gains 0.27% as Memory and Cloud Shares Lead Technology Advance

The Nasdaq Composite opened at 26,541.61 and closed at 26,549.85, marking a gain of 72.04 points, or 0.27%. Its intraday high stood at 26,587.34, while the low was 26,414.92. Technology and growth-oriented shares delivered a bifurcated performance: SK Hynix’s US-listed shares surged 13.30% after the company reported a 632% year-over-year increase in operating profit, while Oracle added 10.56% and Micron Technology rose 5.82%. Arm Holdings gained 4.05%, Marvell Technology advanced 3.27%, and SanDisk climbed 7.69%, extending the memory-driven rally into a second session.

On the losing side, Fortinet fell 5.79%, Palo Alto Networks dropped 1.86%, and CrowdStrike slipped 0.51%, while Nvidia declined 1.24% and Apple lost 0.94%. The technology-heavy benchmark responded to a combination of the Fed’s rate pause and the memory-chip earnings cycle, with the Philadelphia Semiconductor Index’s 1.75% gain providing direct support to the Nasdaq’s semiconductor-heavy composition. The index’s year-to-date gain reached 14.23%, and its 52-week range extended from 20,690.25 to 27,722.75, leaving the composite roughly 4.2% below its cycle high.

Russell 2000 Gains 0.23% as Smaller Stocks Track Industrial and Financial Strength

The Russell 2000 opened at 2,819.91 and closed at 2,825.44, gaining 6.57 points, or 0.23%. It recorded an intraday high of 2,828.09 and a low of 2,810.95. Movements among smaller-cap companies reflected the same sector split visible in the large-cap benchmarks. Brinker International surged 12.18% after raising its full-year guidance, and Wingstop gained 12.18% following better-than-expected third-quarter earnings, while Evercore advanced 12.62% on record quarterly revenue.

Jones Lang LaSalle rose 11.14% after posting record results, and Hayward Holdings climbed 13.35% on an improved outlook. On the downside, F5 plunged 20.43% after its fiscal 2027 guidance disappointed, Landstar System fell 17.76%, and Enphase Energy dropped 16.03% following weak fourth-quarter revenue guidance.

The benchmark’s performance reflected the Fed’s steady-rate outcome and the absence of a broader risk-off catalyst, while the dispersion between consumer-facing gainers and industrial and solar laggards highlighted the selective nature of small-cap participation. The Russell 2000’s year-to-date gain reached 13.83%, and its 52-week range spanned 2,303.46 to 3,069.71, placing the index approximately 7.9% below its high.

S&P 100 Gains 0.34% as Large-Cap Technology and Financial Shares Advance

The S&P 100 opened at 3,841.55 and finished at 3,844.71, recording a gain of 12.95 points, or 0.34%. The index traded between 3,832.47 and 3,851.46 during the session. Movements in major large-cap constituents reflected the same leadership pattern seen across the broader market.

Oracle surged 10.56% and Micron Technology climbed 5.82%, while Broadcom added 2.71% and Advanced Micro Devices rose 3.20%. Among financials, Goldman Sachs gained 1.53% and JPMorgan Chase advanced 1.03%, contributing to the index’s positive close.

Nvidia fell 1.24% and Apple lost 0.94%, limiting the upside. The S&P 100’s year-to-date performance remained positive at 13.13%, in line with the broader S&P 500, while its 52-week range of 3,074.00 to 3,914.19 placed the index roughly 1.8% below its cycle high.

Dow Composite Falls 0.58% as Transport and Utility Averages Diverge Sharply

The Dow Jones Composite Average opened at 16,481.97 and closed at 16,409.28, losing 96.28 points, or 0.58%, after moving between a high of 16,483.73 and a low of 16,369.78. The Dow Jones Transportation Average ended at 20,041.78, compared with an opening level of 20,472.72, representing a decline of 2.46% or 505.74 points, with an intraday range of 19,911.33 to 20,472.72.

The Dow Jones Utility Average closed at 1,091.51, changing -1.08% from its opening level of 1,103.09, after trading between 1,090.99 and 1,104.71. The divergence between the composite’s modest decline and the transport index’s sharper 2.46% drop reflected weakness in freight and logistics names, with Landstar System falling 17.76% and Old Dominion Freight Line dropping 7.33%, while C.H. Robinson declined 11.14%.

Utility shares faced pressure from higher Treasury yields, with the 10-year yield holding near 5% and the 30-year yield at 5.31%, weighing on rate-sensitive infrastructure and power names. The composite’s 52-week range of 14,169.43 to 17,246.95 framed the session’s move as a mid-range pullback within a broadly sideways October trend.

Philadelphia Semiconductor Index Gains 1.75% as Memory Earnings Lift Chip Stocks

The Philadelphia Semiconductor Index (SOX) opened at 11,557.38 and closed at 11,684.00, gaining 201.50 points, or 1.75%. Its intraday high was 11,731.31, while the low was 11,488.36. Semiconductor-related constituents delivered broad-based gains: SK Hynix’s US-listed shares surged 13.30% after the memory maker reported record quarterly revenue of 104.6 trillion won and operating profit of 83.3 trillion won, with an operating margin of approximately 80%.

Micron Technology rose 5.82%, SanDisk climbed 7.69%, Applied Materials gained 4.95%, and Lam Research advanced 5.34%, while Arm Holdings added 4.05% and Marvell Technology rose 3.27%. The sector benchmark’s advance came amid SK Hynix’s guidance that the memory shortage will extend through 2030, a projection that reinforced expectations for sustained pricing power across the memory supply chain. The SOX’s year-to-date gain stood at 17.59% for the Nasdaq 100, while the semiconductor index’s 52-week range of 6,160.04 to 14,655.29 placed Wednesday’s close roughly 20.3% below its cycle high.

NYSE Composite Gains 0.22% as Energy and Financial Shares Offset Declining Issues

The NYSE Composite Index opened at 24,198.16 and closed at 24,265.12, recording a gain of 54.44 points, or 0.22%. The index traded between 24,167.14 and 24,305.63 during the session. Movements across energy, financials, and industrials contributed to the modest advance, while real estate and utility shares acted as drags.

Exxon Mobil rose 1.20% and Chevron added 0.46%, while JPMorgan Chase gained 1.03% and Morgan Stanley advanced 1.81%. GE rose 1.11% and RTX added 0.70%, supporting the industrial cohort. On the downside, NextEra Energy fell 1.68% and Verizon declined 1.68%, reflecting rate-sensitive weakness.

The composite’s performance came as the Fed’s decision to hold rates steady removed a near-term policy uncertainty, while the 10-year Treasury yield’s rise above 5.04% in recent trading kept pressure on duration-sensitive sectors. The index’s 52-week high of 24,866.75 remained approximately 2.4% above the closing level, framing the session as a contained advance within a narrow October range.

Also Read: How to invest in US stocks

S&P MidCap 400 and SmallCap 600 Gain 0.17% and 0.07% as Breadth Remains Narrow

The S&P MidCap 400 opened at 3,662.91 and closed at 3,663.70, moving 6.20 points, or 0.17%, with an intraday range of 3,640.92 to 3,669.60. The S&P SmallCap 600 opened at 1,698.38 and ended at 1,699.79, gaining 1.20 points, or 0.07%, after trading between 1,687.41 and 1,702.97.

The two benchmarks reflected movements among mid- and small-cap shares that mirrored the large-cap split: consumer discretionary and industrial gainers such as Brinker International and Wingstop supported the small-cap cohort, while solar and freight names including Enphase Energy and Landstar System weighed on the mid-cap and small-cap breadth.

The S&P MidCap 400’s 52-week high of 3,928.98 remained approximately 6.8% above the closing level, while the S&P SmallCap 600’s high of 1,832.20 was roughly 7.8% above Wednesday’s close, indicating that both benchmarks remained in corrective territory relative to their cycle peaks.

Fed Holds at 3.75%–4% as Elevated Inflation and Strong Growth Shape Treasury Moves

The principal market catalyst was the Federal Open Market Committee’s decision to maintain the target range for the federal funds rate at 3.75%–4% following its two-day policy meeting. The vote was 10–2, with Cleveland Fed President Beth Hammack and Fed Governor Lisa Cook dissenting in favour of a 25-basis-point hike. The post-meeting statement acknowledged that “inflation remains elevated” while describing economic activity as “expanding at a strong pace,” with domestic spending resilient and job gains keeping pace with the workforce.

Fed Chairman Kevin Warsh said during his press conference that the central bank remained focused on price stability and that the employment picture had been “quite positive,” while announcing that one of the Fed’s eight 2027 meetings would be devoted exclusively to broad monetary policy strategy without a rate vote or policy statement.

Treasury yields rose alongside the decision and higher crude prices: the 2-year yield stood at 4.728%, the 5-year yield at 4.842%, the 10-year yield at 5.045%, and the 30-year yield at 5.363%, with the 10-year yield’s move above 5% marking its first close above that threshold since 21 October. The 10-year/2-year spread narrowed to approximately 25 basis points as short-term yields rose more than longer-dated yields, reflecting the market’s shift toward pricing a December hike.

Consumer Confidence Rises to 91.7 as GDP Tops 3% and PCE Remains Above Target

The latest economic data showed the Conference Board’s consumer confidence index at 91.7 for October, compared with a revised 84.2 in September, an increase of 7.5 points and well above the consensus expectation of 81. The reading marked the first increase since June and the highest level since June, with both the present-situation and expectations components rising.

Fed Chairman Warsh said during his press conference that third-quarter GDP growth was above 3%, while the first-half GDP increase was revised up from an earlier estimate of 1.8% to 2.4%. The PCE price index for August showed a 3.4% year-over-year increase, with core PCE at 3.0%, both remaining above the Fed’s 2% target.

The releases provided the latest information on consumer activity and inflation during a session in which the Fed explicitly acknowledged that price pressures had shown limited progress toward target.

Also Read: US Stock Market Timings 

Brent Crude Rises 1.6% to $115.67 as Supply Concerns Lift Energy Shares

Brent crude traded at $115.67, changing 1.6%, while WTI crude stood at $102.72, moving 2.8%. The commodity moves followed reports that Iran-backed Houthi militants had claimed a strike on Saudi Arabia’s Ras Tanura refinery and that US officials had told several Persian Gulf countries to prepare for a short, intense military campaign after the 3 November midterm elections.

Gold traded at $4,060.11 an ounce, changing 1.08%, while silver moved 1.4% lower to $53.73. Copper changed 0.4% lower, and natural gas moved 1.7% higher. The energy complex’s advance directly supported the S&P 500 energy sector’s position as the best-performing group, while higher crude prices reinforced the inflation narrative that underpinned the Fed’s hawkish hold.

US Dollar Index Falls 0.11% to 102.21 as Euro and Yen Retain Range

The US Dollar Index (DXY) moved 0.11% lower to 102.21. EUR/USD stood at 1.1125, USD/JPY traded at 152.40, and GBP/USD was at 1.3370, while USD/CNY traded at 7.1180. Currency movements followed the Fed’s rate decision and the accompanying rise in Treasury yields, with the dollar’s modest decline reflecting a partial reversal of the three-session strengthening streak that had preceded the meeting.

The dollar’s move coincided with the 10-year yield’s push above 5% and the 2-year yield’s rise to 4.728%, leaving the greenback weaker against the euro and sterling while holding gains against the yen.

VIX Falls 3.77% to 16.86 as Volatility Recedes After Fed Decision

The CBOE Volatility Index (VIX) changed -3.77% to 16.86, compared with its previous close of 17.52. The index measures expected volatility in the S&P 500 over the coming 30 days. Its movement during the session coincided with the Fed’s widely anticipated rate hold and the absence of a policy surprise, which removed a near-term volatility catalyst even as the 10-year yield pushed above 5% and crude oil advanced.

The VIX’s intraday range of 16.82 to 17.77 bracketed a session in which equity benchmarks posted modest gains and sector dispersion remained elevated, leaving the gauge below its 52-week high of 35.30 and above its low of 13.38. The CBOE Nasdaq Volatility Index (VXN) moved 2.9% lower to 21.40, while the CBOE S&P 500 3-Month Volatility Index (VIX3M) changed -1.4% to 19.85, consistent with a broad decline in near-term implied volatility across US equity benchmarks.

Energy Gains 1.2% as Real Estate Falls 0.9% Across Eleven S&P 500 Sectors

Performance across the 11 S&P 500 sectors was mixed, with six groups advancing and five declining. Energy recorded the strongest move at 1.2%, while Real Estate declined 0.9% as the worst-performing sector.

The remaining sectors recorded the following moves: Information Technology 0.4%, Communication Services -0.3%, Consumer Discretionary -0.2%, Consumer Staples -0.1%, Financials 0.5%, Health Care 0.3%, Industrials 0.4%, Utilities -0.6%, and Materials -0.1%. The sector movements followed the dual influence of higher crude prices, which lifted energy producers, and rising Treasury yields, which weighed on real estate and utilities.

Health Care’s 0.3% gain was supported by Labcorp Holdings’ 8.84% advance and GE HealthCare’s 6.5% rise, both of which followed better-than-expected results, while Financials’ 0.5% advance reflected strength in JPMorgan Chase, Goldman Sachs, and Morgan Stanley. No sector moved more than 1% in either direction except Energy and Real Estate, underscoring the contained nature of the session’s sector rotation.

Magnificent Seven Diverge as Oracle Surges 10.56% and Nvidia Falls 1.24%

Among the Magnificent Seven, Alphabet rose 1.48% ahead of its after-the-bell earnings report, while Microsoft slipped 0.58% before its own quarterly release. Amazon added 0.54%, and Meta Platforms fell 1.31%, extending a two-session decline following news that the company intended to raise up to $95 billion in stock offerings to fund AI ambitions.

Tesla declined 0.76%, Apple lost 0.94%, and Nvidia dropped 1.24%. The group’s dispersion reflected a rotation within technology rather than a uniform move: Oracle’s 10.56% surge and Broadcom’s 2.71% gain offset weakness in Nvidia and Apple, leaving the Roundhill MAGS ETF 0.4% lower on the session.

The Magnificent Seven’s mixed performance contributed to the Nasdaq Composite’s modest 0.27% advance while limiting the index’s upside relative to the semiconductor-focused SOX.

Also Read: What Are Fractional Shares? 

Semiconductor, Financial and Energy Stocks Advance as AI and Growth Shares Diverge

Semiconductor stocks were higher, with the Philadelphia Semiconductor Index moving 1.75% and the VanEck Semiconductor ETF rising 1.3%. Micron Technology gained 5.82% and SanDisk climbed 7.69%, while Applied Materials and Lam Research each advanced more than 4.9%. Financial stocks recorded a positive trend, with JPMorgan Chase up 1.03%,

Goldman Sachs up 1.53%, and Morgan Stanley up 1.81%, although regional banks lagged as the SPDR S&P Regional Banking ETF fell more than 1%. Energy stocks moved higher alongside crude prices, with Exxon Mobil up 1.20% and Chevron up 0.46%. AI and growth stocks were mixed: Oracle’s 10.56% surge and Vertiv Holdings’ 16.46% jump reflected demand for data-centre infrastructure, while Nvidia’s 1.24% decline and Fortinet’s 5.79% drop illustrated the selective nature of the AI trade. The Roundhill Memory ETF jumped 6.5%, with SK Hynix and Samsung as heavily weighted components, reinforcing the memory-specific leadership that drove the session’s technology gains.

The closing session was shaped by the Fed’s 10–2 hold at 3.75%–4%, alongside a 1.75% gain in the SOX and a 1.6% rise in Brent crude to $115.67. The S&P 500 finished 0.28% higher, the Dow added 0.19%, and the Nasdaq gained 0.27%, while energy led sectors and real estate lagged.