logo-loader

Dow rises more than 400 points as Fed says it will be patient in raising interest rates

Apple and Boeing were the best-performing blue-chips

Apple iPhone and user
Apple rallied on signs it will cut the price of its iPhone

Stocks posted solid gains after the Federal Reserve said it will be patient in raising interest rates as inflation remains muted.

“In light of global economic and financial developments and muted inflation pressures, the committee will be patient as it determines what future adjustments to the target range for the federal funds rate may be appropriate to support these outcomes,” the Fed said in a statement after the Federal Open Market Committee’s meeting.

Equities also climbed after a strong earnings report from Boeing Co (NYSE:BA) and signs from Apple Inc (NASDAQ:AAPL) that it will reduce iPhone prices.

The Dow Jones Industrial Average climbed 434.90, or 1.8%, to 25,014.86. The Nasdaq Composite was up 2.2% to 7,183.08.

Apple and Boeing were the best-performing blue-chips, with Apple up 6.8% to $165.25 and Boeing rallying 6.3% to $387.72.

The S&P 500 Index gained 1.6% to 2,681.05, while the Russell 2000 index of small-cap stocks advanced 0.9% to 1,484.35.

In Canada, the S&P/TSX Composite Index edged up 0.1% to 15,482.43.

2:20 PM: Dow posts triple-digit gains after Fed says it will be patient in raising interest rates

Stocks posted solid gains after the Federal Reserve said it will be patient in raising interest rates as inflation remains muted.

“In light of global economic and financial developments and muted inflation pressures, the committee will be patient as it determines what future adjustments to the target range for the federal funds rate may be appropriate to support these outcomes,” the Fed said in a statement after the Federal Open Market Committee’s two-day meeting.

Equities also climbed after a strong earnings report from Boeing Co (NYSE:BA) and signs from Apple Inc (NASDAQ:AAPL) that it will reduce iPhone prices.

The Dow Jones Industrial Average climbed 396.20, or 1.6%, to 24,976.16. The Nasdaq Composite was up 1.8% to 7,151.98.

Apple and Boeing were the best-performing blue-chips, with Apple up 6.5% to $164.74 and Boeing rallying 6.3% to $388.06.

The S&P 500 Index gained 1.4% to 2,677.89. The Russell 2000 index of small-cap stocks advanced 0.4% to 1,477.72.

In Canada, the S&P/TSX Composite Index slipped 0.1% to 15,441.39.

12:31 PM: Dow jumps 375 points on the back of strong earnings from Boeing and Apple

US stocks continued to pop higher on Wednesday on the back of strong earnings from Boeing Co (NYSE:BA) and Apple Inc (NASDAQ:AAPL) as investors wait for the US Federal Reserve’s interest rate decision. 

The Dow Jones Industrial Average jumped 381.81 points, or 1.55% to 24,961.77, led higher by Boeing which jumped 7.2% after it reported more than $100 billion in annual revenue for the first time.

 Apple was also up nearly 5% after it gave signals that lower iPhone prices could be on the way. 

The S&P 500 Index gained 0.97% to 2,665.60, led higher by Advanced Micro Devices, Stryker Corp and Anthem Inc. 

The Nasdaq Composite index gained 96.13 points, or 1.37%, to 7,124.42.

In Canada, the S&P/TSX Composite Index was up 10.59 points, or 0.06%, at 15,473.73.

Elsewhere, the Russell 2000 index of small-cap stocks was also up 0.5% at 1,478.61. 

10 AM: Dow up 227 points on the back of strong corporate earnings

US stocks opened higher Wednesday as investors were reassured by record earnings from Boeing Co ahead of the Federal Reserve’s update on monetary policy and fresh US-China trade talks.

The Dow Jones Industrial Average gained 227.20 points, or 0.92% to 24,807.16, led higher by Boeing which shot up 5.4% after it reported more than $100 billion in annual revenue for the first time.

Dow component Apple was also up nearly 3% after it signaled lower iPhone prices may be on the way.

The S&P 500 gained 0.34% to 2,649.01 led higher by Advanced Micro Devices, Anthem Inc and Stryker Corp.

The Nasdaq Composite index gained 60.10 points, or 0.86% to 7,088.39 led higher by a broad rally in the technology sector.

Elsewhere, the Russell 2000 index of small-cap stocks also flew into the green hovering around 1,471.79.

7:15 AM: Wall Street benchmarks seen higher as traders await more tech earnings; Fed rate decision

US stocks are seen starting on the front foot Wednesday after a mixed finish as traders await a barrel load of tech earnings and a Federal Reserve interest rate decision.

The US central bank is expected to stand pat on rates amid fears about a weakening global and American economy.

 

Compounding issues that Jerome Powell, Fed chairman, may have to take into consideration, is that some economic reports due this week may be delayed due to the recent government shutdown.

Yesterday, the Dow Jones Industrial Average added over 51 points at 24,579 but the tech-heavy Nasdaq lost around 57 at 7,028. The S&P 500 index shed nearly four points at 2,640.

In futures trade today, the Dow Jones is up 79 points, the Nasdaq is ahead by around 50 and the S&P 500 is up 6.50 points.

Apple (NASDAQ:AAPL) shares are up over 5% in pre-market deals as its quarterly earnings were slightly better than the firm had warned earlier in January.

Alibaba (NASDAQ:BABA) is due to report before the opening bell, while Microsoft (NASDAQ:MSFT), Facebook (NASDAQ:FB) and Tesla (NASDAQ;TSLA) will publish numbers after the close.

In European benchmarks, the picture is mixed at the time of writing. The FTSE 100 is up over 95 points, while the German DAX is down nearly 36 and the French CAC 40 is ahead 29.

Add related topics to MyProactive

Create your account: sign up and get ahead on news and events

NO INVESTMENT ADVICE

The Company is a publisher. You understand and agree that no content published on the Site constitutes a recommendation that any particular security, portfolio of securities, transaction, or investment strategy is...

FOR OUR FULL DISCLAIMER CLICK HERE

Watch

'May only be a matter of time' before Uranium price recovery with...

Mining Capital's Alastair Ford discusses the planned slow down in production from Kazatomprom (LON:KAP). The miner's looking to cut output from its Kazakh mines by around 20% through to 2021. He says that extends the timeframe of its previous production curtailment by a further year, and...

15 hours, 10 minutes ago

5 min read