At first, the stock market was a little unstable, but then it accelerated. Large companies that have grown a lot helped the stock market improve. People were also waiting to hear what top people at the Federal Reserve would say about interest rates.
U.S. government borrowing rates fell slightly on Tuesday. This is important because there will soon be many government loans for sale. The interest rate on the most common loan, called the “Ten-Year Treasury”, was 4.5892%.
Some people worried that the Federal Reserve could keep interest rates high for a long time. This is because some top people at the Federal Reserve have said things that suggest this could happen.
A person named Neel Kashkari, who runs a Federal Reserve bank in Minneapolis, said it could take a long time for interest rates to come down. He also said the Federal Reserve may have to do more to make sure prices don’t rise too quickly.
Another person who works for the Federal Reserve, Austan Goolsbee, said prices have been rising, but it’s not over yet. He believes prices could continue to rise for a while longer.
Big companies like Microsoft, Apple and Amazon did very well. This helped one part of the stock market called Nasdaq do better than other parts. The Nasdaq has many technology companies.
A person named Rick Meckler, who helps people with their money, said big companies are in a good position now. Although high interest rates used to be a problem, people now think that large companies are a safe place to invest money.
Some parts of the stock market fared better than others. Parts that include technology companies, things people like to buy, and services like the Internet did very well.
Companies that produce energy had it more difficult. Its shares fell 2.4%. This is because the price of oil, which is a type of energy, fell.
Later, top people at the Federal Reserve will say more about what they think about interest rates. The most important person, Jerome Powell, will speak on Wednesday.
Right now, the stock market is doing quite well. He has done well for seven days in a row. This is good news for people who have money in the stock market.
Although things are getting better, some people are still unsure if the good times will last. They are being careful with their money, in case things don’t go so well later.
At around 11:46 a.m., the Dow Jones, which shows how well big companies are doing, rose almost 100 points. The S&P 500, which shows how well 500 large companies are doing, rose about 16 points. The Nasdaq, which has numerous technology companies, rose more than 130 points.
Uber, a company that allows people to take rides from their phones, did very well. Its shares rose 3.5%. Another company called Datadog, which helps other companies with their IT systems, had even better results. Its shares rose 28.5%.
In the stock market, there were slightly more companies that didn’t do as well than those that did well. But on the Nasdaq, slightly more companies did well than those that didn’t do as well.
Some companies did very well and reached their highest prices in a year. Others didn’t fare as well, hitting their lowest prices in a year. The Nasdaq was the one where the most companies reached their highest prices.
So overall, the stock market is doing well. Some parts are doing very well, while others are not doing so well. People watch closely to see what happens next.
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