The S&P 500 reached a new record on Wednesday. Stocks stayed strong even with uncertainty about the Federal Reserve’s plans and President Trump’s tariff threats. The index rose 0.24% to close at 6,144.15, hitting a new all-time high during the day.
Global Markets | Here's a look at how the global equities performed overnight???? #NASDAQ #DowJones #FTSE #CAC #DAX pic.twitter.com/C6ZyygJYZk
— ET NOW (@ETNOWlive) February 22, 2025
The Nasdaq Composite added 0.07% to end at 20,056.25. The Dow Jones Industrial Average gained 71.25 points, or 0.16%, to finish at 44,627.59. Technology stocks led the way.
#USMarketAtOpen | S&P 500 and Nasdaq open flat, and other significant updates! #UnitedHealth #Nubank #Block #CelsiusHoldings #MecardoLibre @Nasdaq pic.twitter.com/FIvTph7KU2
— ET NOW (@ETNOWlive) February 21, 2025
Shares jumped 1.3% after the company announced a new product. The stock has surged nearly 10% since reporting earnings that beat expectations. On Tuesday, Trump said he might put tariffs on imported autos, chips, and drugs starting April 2.
The market rebounded after the long weekend, with the S&P 500 hitting a record high! FNBO's Kurt Spieler shared his outlook with Investor’s Business Daily: with a growing services economy, U.S. economic activity may experience longer expansion periods. https://t.co/ywQN3iFKZj
— FNBO (@fnbo) February 20, 2025
He did not give specifics on the tariffs or how broad they would be. “There’s a lot of noise tied to DOGE, Elon Musk, and tariffs in the short-term.
After today, the S&P 500 is down an annualized 86.1% on Friday. Only 1937 was worse.
We've been talking a lot how weakness on Friday has been the play in 2025. News heavy markets = sell ahead of the weekend.
I'll take it as the good news, as it has to improve. Right? pic.twitter.com/rBy2QWPl4i
— Ryan Detrick, CMT (@RyanDetrick) February 21, 2025
In the long term, I’m bullish about the pro-business environment,” said Jim Elios, founder and chief investment officer at Elios Financial Group.
Investors also looked at minutes from the Fed’s recent meeting. Officials want to see more progress on inflation before lowering interest rates. They also worry about how Trump’s tariffs could affect the economy.
Palantir shares dropped as much as 12.9% on Wednesday, the biggest fall in over nine months. Reports say the Trump administration and Defense Secretary Pete Hegseth plan to cut the defense budget by 8% in the next five years.
Stocks reach all-time highs
Palantir also told the SEC that CEO Alex Karp can sell up to 9.975 million shares by mid-September 2025. Despite the drop, Palantir is still up 48% in 2025 after big gains the last two years. Morgan Stanley raised its “bull case” price target for Walmart shares to $153, which is 15% higher than before and 47% above Tuesday’s close.
Analyst Simeon Gutman thinks Walmart’s other businesses, like memberships and e-commerce, will drive growth. He expects 5% revenue growth and 12% earnings growth in the next three years. Analysts like Nike’s deal with Kim Kardashian’s Skims brand.
They will launch NikeSKIMS activewear this spring. “NikeSKIMS seems like a big win for Nike,” said Cristina Fernández, senior research analyst at Telsey Advisory Group. The partnership aims to reach Kardashian’s huge social media audience and attract younger, trendy consumers.
But Fernández said, “Nike still has work to do to clean inventories and energize its footwear products.”
Microsoft revealed its first quantum computing chip, Majorana 1, on Wednesday. It has been researching this for almost 20 years. The company said this brings “quantum computers capable of solving meaningful, industrial-scale problems” closer to reality.
Quantum computers could transform many industries by quickly solving complex problems and helping create new drugs and AI models. Quantum stocks jumped after the news. Shares of one company soared 42%, while two others rose 5% each.
Apple announced the iPhone 16e, which will cost $599 and launch later this month. The new phone will be able to run AI technology, a major step forward for Apple’s products. Apple shares were mostly flat on Wednesday.
