S&P 500 Index Hit 29th High In 2025 as Federal Government Remains Closed

Barry Adams
02 Oct, 2025
New York City

U.S. benchmark indexes in New York advanced, and investors overlooked the ongoing partial shutdown of the federal government. 

The S&P 500 index gained 0.2%, the tech-heavy Nasdaq Composite advanced 0.3%, and the yield on the 10-year Treasury bond inched higher to 4.10%. 

The S&P 500 index hit its 29th new record high this year, driven by AI-led rally, earnings optimism, and hopes of additional interest rate cuts. 

The S&P 500 index advanced to a new record high on Wednesday, and investors bid up stocks on hopes that the latest government shutdown is likely to be brief. 

The current disagreement between the Democrats and Republicans hinges on the Republicans' plan to eliminate premium subsidies for low-income individuals. 

As many as 4.2 million Americans are likely to lose their insurance, according to an estimate released by the nonpartisan Congressional Budget Office. 

Republicans are hoping that as many as five Democratic senators are likely to back the funding plan passed by the Republican-controlled U.S. House.

The U.S. Senate is likely to schedule the next vote on Friday, as lawmakers return from a holiday. 

The U.S. Labor Department will not release its previously scheduled September's nonfarm payroll data on Friday because of the government shutdown, adding one more challenge to the Fed's policymakers in deciphering the next step for rate decisions.

 

U.S. Stock Movers 

Occidental Petroleum Corp. advanced 1.1% to $48.26 after the company said Berkshire Hathaway has agreed to buy its petroleum refining unit for $9.7 billion. 

Berkshire Hathaway's latest deal is the largest since the purchase of Allegheny Insurance in 2022.