The S&P 500 index ($ SPX) (Spy) on Wednesday closed by -0.10%, the Dow Jones Industrials Index ($ dowi) (DIA) +0.57%and the NASDAQ 100 index ($ iuxx) (QQQ) by -0.21%. September -e -Mini S&P Futures (ESU25) fell -0.09%and September E -Mini Nasdaq -Futures (NQU25) fell -0.14%.
Stock indices mixed on Wednesday, with the Dow Jones Industrials rising to a new all -time high. The broader market gave up early progress and became lower on Wednesday afternoon than the bond yields on Hawkian comments from the Fed chairman Powell, who highlighted the risk of continuing inflation and signaled less support for a deeper relaxation of FED policy. After the 10-year-old T-Note return had initially fallen to a low of 5.25 months of 3.99%, he rose at 4.07% by +4 BP.
The shares initially climbed higher on Wednesday afternoon after the Fed signaled the interest rates as expected by -25 BP and -50 BP more interest reductions by the end of the year. The FOMC also increased its US 2025 GDP forecast, a supporting factor for stocks.
The weakness of the chip makers was also Bärisch for the overall market, since Nvidia decreased more than -2% after the Financial Times stated that the Cyberspace Administration of China, China’s Internet Watchdog, has instructed the country’s largest companies to end the orders for the RTX Pro 6000D chip from Nvidia.
The US apartment messages on Wednesday were weaker than expected and negative for stocks. The starts of August apartments fell by -8.5% m/m to 1.307 million, weaker than the expectations of 1.365 million. Aug Building genotive permits, a deputy for future construction work, fell unexpectedly -3.7% m/m to a low of 5.25 years of 1.312 million and weaker than the expectations of an increase to 1.370 million.
The US MBA mortgage proposals rose by 29.7% in the week on September 12, with the merchant-SUB index +2.9% and the refinancing mortgage-SUB index +57.7%. The average mortgage with a fixed interest rate of 20 years fell from -10 BP to an 11-month low of 6.39% compared to 6.49% in the previous week.
As expected, the FOMC voted 11: 1 for reducing the Federal Fund’s target areas by -25 BP to 4.00% -4.25% from 4.25% -4.50% and said:
The Fed’s DOT diagram will be projected to 3.625% by the end of 2025 and signaled another 50 BP installment cuts this year. The Fed Fund target area for the end of 2026 is 3.375%and in 2026 only signals one -25 BP rate.
The FOMC increased its GDP estimate of 2025 US BIP from +1.4% in June to +1.6% and kept its estimate of the PCE inflation from 2025 from June from +3.1% unchanged, which is far above the inflation target of 2% of the Fed.
The Fed Chairman Powell said that the revised jobs are no longer solid, and the step of the Fed to reduce interest on a “more neutral” position will probably be helpful for the labor market. He added. “We have started to see that the prices for higher goods come into inflation and” we expect that they will continue to build until next year “.
The markets this week will continue to focus on any new or tariff messages. On Thursday, the weekly solidarity claims are expected to fall by -23,000 to 240,000.
At the next FOMC meeting from October 28th to 29th, the markets are a price speed of -25 BP at a speed of -25 bp.
The overseas stock markets mixed up on Wednesday. The Euro Stoxx 50 Castle for -0.05%. China’s Shanghai Composite Castle +0.37%. Japan’s Nikkei Stock 225 Castle -0.25%.
Interest rates
10-year-old T-notes (ZNZ5) closed on Wednesday at -13.5 ticks. The 10-year-old T-Note return rose by +4.0 BP to 4.068%. T-notes became lower on Wednesday and the 10-year T-Note return rose from a low of 5.25 months of 3.988%higher. The prices for the T-Note supported early on Wednesday of the weaker starts on Wednesday as expected American American AuG apartment and report on permission. In addition, the FOMC campaign was supported for T-notes on Wednesday to reduce interest rates by 25 BP and to signal another 50 BP of the interest rate cuts after the end of the year.
However, t-notes gave up their profits and became lower after the FOMC increased its GDP estimate of 2025 US BIP and said: “Inflation has increased and remains a bit increased.” The losses in T-NOTES accelerated on Wednesday afternoon, when FED chairman Powell found that higher goods prices flow into inflation and that FOMC expects inflation to continue to be built up by the next year, which can restrict how much the Fed can reduce interest.
The concerns regarding the independence of the Fed have the T-Note prices negative because President Trump’s attempt, governor Cook, and Stephen Miran’s intention to keep a position of the FED governor, to have a position of the Fed governor and at the same time technically in his role of the White House in the Council of Business Advisors.
The returns of the European government bonds on Wednesday have lower. The 10 -year -old German Federal Routes fell by -1.8 BP to 2.675%. The 10 -year -old yield in Great Britain fell by -1.4 BP to 4.625%.
The Eurozone AG CPI was revised from the previously registered +2.1% y/y to +2.0% y/y. The Aug -Core CPI was not revised at +2.3% y/y.
From July, the CPI in the UK at +3.8% y/y, directly on expectations, was unchanged. Aug Core -CPI was reduced from +3.8% y/y in July to +3.6%/y, directly for expectations.
Swaps discount a 1% chance for one from the ECB by the ECB for -25 BP.
US stock engines
NVIDIA (NVDA) completed more than -2% to lead losers to the Dow Jones Industrials after the Financial Times reported that the Cyberspace Administration of China, China’s Internet Watchdog, has instructed the country’s largest companies to end orders for Nvidias RTX Pro 6000D chip.
The suppliers for the building buildings withdrew on Wednesday after the US apartment and building permits had more than expected. Builder’s FirstSource (BLDR) closed by more than -5%to lead losers in the S&P 500. In addition, Mohawk Industries (MHK) closed more than -4%, and Home Depot (HD) and Weyerhaeuser (WY) concluded more than -1%.
Manchester United (Manu) closed more than -6%after reporting a loss of the fourth quarter and reducing his revenue prospects of 2026.
After a SEC registration, Uber Technologies (Uber) closed more than -4% in signs of insiders, which after a SEC registration showed that the CEO Khosrowshahi sold 28.6 million dollars last Friday.
Warner Bros Discovery (WBD) closed more than -1% on signs of insiders after CFO Wiedenfels sold stocks over 14 million US dollars on Monday.
Roivant Sciences LTD (Roiv) closed more than +7% after it defeated more than +7% in a phase -3 study that his Brepocitinib, which it developed with priovant therapeutics for the treatment of dermatomyositis, has achieved its primary endpoint.
Hologic (Holx) closed more than +7%to lead Gainer in the S&P 500 after Blackstone Inc. and TPG Inc. should revive interest in taking over the company.
Workday (WDay) closed by more than +7%to lead Gainer in the Nasdaq 100 after Guggenheim Securities had upgraded the share with a price target of $ 285 to buy neutral.
The Zillow Group (ZG) completed more than +2% after Bernstein had improved the stock to the exaggeration of the market performance with a price target of USD 105.
PayPal Holdings (Pypl) closed more than +2%after completing a multi -year partnership with Google to advance Commerce Solutions.
Earnings reports (18.09.2025)
Dard restaurants inc (dri), Ennis Inc (EBF), Factset Research Systems Inc (FD), Fedex Corp (FDX), Golden Matrix Group Inc (GMGI), Lennar Corp (Len), Scholastic Corp (Schl).
On the day of publication, Rich Asplund had no positions in any of the securities mentioned in this article (either directly or indirectly). All information and data in this article serve exclusively for information purposes. This article was originally published Barchart.com
