United States major benchmarks finished mixed on Wednesday (Thursday AEDT) as investors digested a Federal Reserve decision to leave interest rates unchanged and prepared for a fresh slew of corporate earnings results from major technology companies.
The Dow Jones Industrial Average added just 12.2 points 0.02% to 49,015.6, the S&P 500 finished flat at 6,978.0 after earlier gaining 0.3% to reach an all-time intraday high of 7,002.28, while the Nasdaq Composite added 40.4 points or 0.2% to 23,857.5.
Markets initially drew support from the Fed’s policy statement, which indicated that economic conditions remain resilient. The central bank held its benchmark rate in a target range of 3.5%–3.75%.
Treasury yields moved higher following the decision, as policymakers described growth as firm and signalled reduced concern about labour market weakness.
“I think, and many of my colleagues think, it’s hard to look at the incoming data and say the policy is significantly restrictive at this time,” said Fed Chair Jerome Powell during his press conference.
Equities were lifted earlier in the session by strength in semiconductor-related shares after upbeat corporate updates linked to artificial intelligence demand.
Seagate Technology surged 19.1% after the data storage company reported second-quarter earnings and revenue that exceeded analyst expectations. Chief executive Dave Mosley pointed to robust demand tied to AI-driven data storage needs.
Semiconductor equipment maker ASML also reported record orders and issued optimistic guidance for 2026, citing continued momentum from the AI boom.
Despite the strength in chip names, the rally proved narrow. Gains failed to spread across other sectors, leaving the S&P 500 vulnerable to late-session selling pressure that pulled the index back towards unchanged levels by the close.
Investors are also navigating a fresh deluge of corporate earnings. Several large technology companies are scheduled to report results, with Microsoft, Meta Platforms and Tesla due to release quarterly figures after the closing bell, with Apple set to report in the following session.
Outside the technology sector, Starbucks shares edged higher after the coffee chain said customer traffic increased for the first time in two years. The company’s first-quarter revenue topped expectations, though earnings fell short of forecasts.
In fixed-income markets, yields on U.S. government bonds rose modestly. The 10-year Treasury yield increased 0.1% to 4.247%, while the 2-year yield rose by a similar margin to 3.577%.
