The Dow Jones Industrial Average slipped, but rival large-cap indexes closed at record highs Wednesday after the minutes of the Federal Reserve's September meeting indicated more interest rate cuts are in the pipeline. Meanwhile, an artificial intelligence energy play sank while a data storage stock plunged after reporting mixed results on the stock market today.
AI chipmaker Advanced Micro Devices soared 11.4%, topping the S&P 500 and the Nasdaq composite, stretching gains on news this week of its deal with OpenAI. Rival Nvidia advanced 2.2%, rising in a buy zone above an entry point of 184.48. A financial tie-up between Nvidia and an Elon Musk venture was in focus.
Meanwhile, shares of Oracle and Musk's Tesla found their footing. Oracle climbed to its 10-day moving average while Tesla held its 21-day moving average.
The Nasdaq paced the major indexes by rising 1.1% and the S&P 500 picked up 0.6%, each finishing at record highs. The Dow slipped into the red by losing less than 2 points. Small caps on the Russell 2000 gained 1%.
Volume on the New York Stock Exchange was lower and on the Nasdaq higher compared with the same time on Tuesday. Advancers had the lead on both exchanges – by more than 3-to-2 on the NYSE and less than 2-to-1 on the Nasdaq.
The yield on the benchmark 10-year Treasury note edged higher to 4.12%. Crude oil rose more than 1% to $62.40 a barrel. On Thursday, Federal Reserve Chair Jerome Powell is scheduled to speak at a community-bank conference in Washington.
4:08 p.m. ET
S&P 500 Sectors: Technology Gains, Energy Lags
Among the S&P 500 sectors, energy and consumer staples lagged. Technology gained more than 1%
After the Fed minutes, traders saw a 92.5% chance of a 25-basis-point rate cut in October, and a 77.6% chance of a 25-basis-point cut in December, according to the CME FedWatch tool. Those odds were trimmed down from a day ago, from 95.1% and 82%, respectively.
Nvidia CEO Spurs AI-Led Rally; Tesla Has New Buy Point
2:51 p.m. ET
Fed Minutes Suggest Possibility Of Three Rate Cuts In 2025
Minutes of the Sept. 16-17 meeting of the Federal Open Market Committee showed that almost all members agreed to lower the central bank's key interest rate by 25 basis points. Stephen Miran, who recently joined the committee after being nominated by President Donald Trump, preferred a steeper 50-basis-point cut.
Also, "around half expected an additional cut at the October meeting," according to the minutes released at 2 p.m. ET. "The vast majority of survey respondents expected at least two 25 basis point cuts by year-end, with around half expecting three cuts over that time."
In addition, "growth of economic activity moderated in the first half of the year. Job gains have slowed, and the unemployment rate has edged up but remains low," the minutes said. "Inflation has moved up and remains somewhat elevated."
Stock Market Today: ViaSat, TopBuild Score Deals
ViaSat surged more than 10% after the satellite communications provider landed a contract from the U.S. Space Force's Protected Tactical Satcom-Global program. Viasat is one of five companies in the program. Shares cleared a double-bottom entry at 34.05.
Elsewhere, TopBuild gapped up in a cup-with-handle base with a buy point of 445.74 after the building insulation products maker agreed to buy Specialty Products and Insulation for $1 billion in cash. Shares jumped more than 6% and stood near 422 in recent action.
1:06 p.m. ET
Third-Quarter Earnings Ahead: Delta, PepsiCo
Third-quarter earnings season is set to kick off with Delta, PepsiCo and Levi Strauss scheduled to report Thursday.
Shares of Delta are trying to get back to their 50-day moving average. Levi Strauss stock is extended from a buy point of 22.35 from a cup base.
Meanwhile, PepsiCo is at risk of undercutting a flat base that has a buy point of 157.80. PepsiCo now sits below its 50-day moving average.
12:33 p.m. ET
Data Storage Stock Plunges On Mixed Results, Outlook
Earnings took a bite of nearly 16% from Penguin Solutions. The stock triggered several sell signals after the computer-data storage provider gave a sales growth outlook of about 6% for fiscal 2026 after a 17% rise in 2025.
Earnings of 43 cents a share beat estimates of 37 cents. But revenue of $337.9 million missed views for $342.1 million.
Shares fell more than 7% below a buy point of 25.94. The stock also round-tripped a 15% gain from a buy point and fell below its 50-day moving average in heavy volume.
Noon ET
ASML, KLA Fall; Applied Materials Pares Losses
Weakness in chip stocks sent a few semiconductor gear makers and fabrication plays lower. KLA and ASML fell. ASML pulled back but remained above a long cup-with-handle base's buy point of 977.48.
The blue dot on its weekly chart on IBD MarketSurge shows that its relative strength line remains at a new high. KLA fell below a 20% profit zone from a buy point of 896.32.
Applied Materials changed course after an early decline and edged above a buy zone that goes up to 211.17 from a buy point of 201.11.
Among artificial intelligence energy plays, Nano Nuclear Energy fell more than 12% after the company announced a private placement of common stock amounting to $400 million.
Shares had soared past a 20% profit zone from a buy point of 43.75 but reversed sharply lower Wednesday.
11:15 a.m. ET
Economic Data Amid Government Shutdown
As the government shutdown stretches into its second week, housing data on Wednesday showed weak activity.
The Mortgage Bankers' Association's mortgage applications composite index dropped 4.7% for the week ended Oct. 3 after falling 12.7% in the prior week. The purchase index sank 1.2% while the refinance index came in 7.7% lower than the prior week.
On Thursday, Fed Chair Jerome Powell is expected to give welcoming remarks at a community-bank conference in Washington.
And on Friday, preliminary consumer sentiment data is due from the University of Michigan. Findings are expected to move stocks. Economists predict a reading for October at 54, dipping from September's 55.1.
10:35 a.m. ET
Stock Market Today: Dow Jones Movers
Dow components were mixed in early trade. Nvidia rose along with Caterpillar, UnitedHealth, Microsoft and Apple.
Apple neared a buy point of 260.10 while Microsoft rose in a flat base with a buy point of 555.45. Nvidia was in a buy zone above an entry at 184.48. UnitedHealth has yet to build a base while Caterpillar is extended from a buy zone.
Cisco Systems rose in a flat base Wednesday. Shares were rebounding from their 50-day moving average and sat 4% below a buy point of 72.55. This is an early-stage base that suggests higher gains after a breakout.
The bellwether network gear maker rolled out a new chip to connect data centers. Microsoft and Alibaba were customers, Reuters reported.
Meanwhile, blue chip stocks IBM and Goldman Sachs each fell more than 1%.
9:52 a.m. ET
Rocket Lab, AST Space Lead Early Movers
Rocket Lab shot up nearly 11% shortly after the open while AST SpaceMobile soared 20% higher, both hitting fresh highs on new deals.
Quanta Services was flat as it tried to get back to a 424.94 cup-base buy point. The heavy construction firm, an AI play, fell 1.5% to 421.51 Tuesday in a downside reversal.
Nvidia gained nearly 2% while Tesla and Palantir Technologies edged lower. Oracle moved up. Nvidia is rising within a buy zone while Palantir is trying to reclaim a buy point. Tesla and Oracle are aiming to recoup some of Tuesday's losses.
AppLovin rose slightly, continuing to bounce back after Monday's 14% dive.
9:22 a.m. ET
Nvidia's Huang Says AI Computing Demand Up 'Substantially'
Nvidia Chief Executive Jensen Huang told CNBC's Squawk Box Wednesday that demand for artificial intelligence computing power is up "substantially" in the last six months. "Demand for Blackwell is really, really high."
Huang didn't confirm that Nvidia took part in a new financing round for Elon Musk's xAI, but said "I'm super excited about the financing opportunity that they're doing.
Bloomberg reported late Tuesday that Nvidia is putting $2 billion into a $20 billion equity-and-debt funding round for Elon Musk's startup, which will in turn buy Nvidia AI chips.
Last month, Nvidia made a massive investment into OpenAI, which in turn agreed to buy a huge amount of AI chips. On Wednesday, Huang conceded that OpenAI "doesn't have the money yet" to fund its purchases but will do so through equity or debt offerings.
Nvidia stock rose a fraction, within a buy zone.
9 a.m. ET
Stock Market Today: Confluent Jumps On Sale Buzz
Confluent spiked more than 15% on a Reuters report that the data streaming platform is exploring a sale after attracting interest from other tech firms and private equity.
Shares of Confluent have fallen nearly 26% this year through Tuesday's close.
8:47 a.m. ET
Fed Minutes To Show Division
The Federal Reserve will release minutes from the September policy meeting at 2 p.m. ET, providing more color on a divided central bank.
While the Fed agreed to cut rates last month, policymakers were deeply divided over the rate outlook. However, last week's ADP Employment Report reinforced expectations for another cut in late October and again in December.
Several Fed policymakers are expected to give speeches Wednesday afternoon or evening. Fed Chair Jerome Powell is due give an address at 8:30 a.m. ET on Thursday.
8:38 a.m. ET
Stock Market Today: Joby Aviation Loses Altitude
Joby Aviation tumbled nearly 11% to 16.85 after the air taxi firm sold 30.5 million shares, raising $513.9 million. Shares of Joby could undercut a 17.18 early entry at the open. Shares had been running up the right side of a cup base with a 20.95 buy point.
8:23 a.m. ET
Stock Market Today: Nvidia-xAI Deal, Tesla, Oracle
Nvidia stock edged higher early Wednesday after barely holding a 184.48 flat-base buy point on Tuesday. The artificial intelligence titan reportedly will invest $2 billion into xAI, a cloud computing venture of Tesla Chief Executive Elon Musk, as part of an effort to raise $20 billion in equity-and-debt financing.
Those funds will used to buy Nvidia processors, with xAI then renting out Nvidia-powered servers for AI cloud-computing needs. It's the latest circular AI deal. In late September, Nvidia invested massively in OpenAI, which will buy the AI chip titan's GPUs.
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Tesla shareholders will vote on taking a stake in xAI at the annual meeting on Nov. 6.
Tesla stock rose a fraction before the open. Shares fell 4.45% to 433.09 on Tuesday as the electric-vehicle giant released a cheaper Model Y and Model 3 that were more expensive than expected with a lot of features stripped out. Tesla also gave some users access to Full Self-Driving V14.
Elsewhere, Oracle stock nudged higher, looking to reclaim its 21-day moving average. Oracle tumbled intraday Tuesday after The Information said the tech giant is losing money on renting out servers powered by Nvidia Blackwell chips.
A Fox Business report said The Information article was "off base." Oracle stock fell 2.5% Tuesday to 284.24, but off session lows.
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Rocket Lab, AST Rocket To New High
Rocket Lab and AST SpaceMobile jumped on big deals. Shares of Rocket Lab leaped nearly 6% in premarket trade.
Shares are already extended after decisively clearing a volatile base last Friday. Rocket Lab won a multilaunch contract with the Institute for Q-shu Pioneers of Space's commercial Earth-imaging constellation.
AST SpaceMobile stock rocketed more than 11% higher before the open, after also breaking out on Oct. 1. AST signed up Verizon Communications as a new partner for its cellular service from space.
Remember that premarket action in Dow futures and elsewhere doesn't necessarily translate into actual trading in the next regular stock market session.
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