S&P 500 and Nasdaq Jump Higher Ahead of Fed Rate Decisions

Barry Adams
19 Mar, 2025
New York City

Market sentiment on Wall Street improved ahead of the Federal Reserve's rate decisions later in the day. 

The S&P 500 index gained 0.7%, and the Nasdaq Composite advanced 0.9%, with investors widely anticipating the Federal Reserve to hold its interest rate range unrevised after a two-day policy meeting later in the day. 

The Federal Reserve is scheduled to announce its decision at 2:00 p.m. ET and release projections on interest rates and estimates on economic growth, the jobless rate, and inflation. 

Investors have lowered their future rate cut expectations to 2 from 4 amid the Trump administration's trade policy uncertainty and worries of resurgent inflation. 

Benchmark indexes resumed selling on Tuesday after rising in the previous two sessions, as investors grapple with softer economic data and the chaotic start of the Trump administration and self-inflicted tariff war to finance tax cuts for the wealthy. 

The S&P 500 index entered into correction territory, and the Nasdaq Composite deepened losses into correction—reflecting losses of 10% or more from its recent highs. 

 

Commodities, Currencies, Indexes, Yields

The S&P 500 index increased 0.4% to 5,637.85, the Nasdaq Composite edged up 0.6% to 17,604.72, and the Russell 2000 index was up 0.3% to 2,055.24.

The yield on 2-year Treasury notes edged higher to 4.09%, 10-year Treasury notes increased to 4.30%, and 30-year Treasury bonds advanced to 4.59%.

WTI crude oil decreased by $0.18 to $66.71 a barrel, and natural gas prices edged higher by $0.09 to $4.14 a thermal unit.

Gold decreased by $2.56 to $3,028.79 an ounce, and silver edged down by $0.35 to $33.61.

The dollar index, which weighs the US currency against a basket of foreign currencies, increased 0.42 to 103.66 and traded at a two-year high.

 

U.S. Movers 

General Mills Inc. declined 2.8% to $58.73, and the food product maker reported weaker-than-expected third-quarter revenue, and the company lowered its full-year outlook. 

HealthEquity Inc. plunged 20% to $80.94, and the health expense-focused account management company reported weaker-than-expected fourth quarter results. 

Boeing Company gained 6.4% to $171.79 after the chief financial officer said cash burn is easing in an interview with CNBC.