Wall Street closed modestly higher Wednesday as a strong batch of earnings from mega-cap tech helped offset ongoing anxiety ahead of the Federal Reserve's policy decision tomorrow. The S&P 500 added 0.6% and the Nasdaq outperformed with a 0.9% gain, while the Dow lagged with a more muted 0.3% advance. Volatility remained elevated, with the VIX holding above 22 — a sign investors are still far from fully at ease.
Meta Platforms was the star of the session, surging 4.1% after its Q1 earnings blowout. Ad revenue climbed well above expectations and management raised guidance, suggesting businesses are still spending on digital advertising despite broader economic headwinds from tariffs. The print helped restore some confidence in the big-tech earnings story after a mixed start to the reporting season.
On the downside, UPS dropped 5.3% after slashing its full-year outlook. The logistics giant pointed to softening parcel volumes and warned that tariff-related trade disruptions are creating real headwinds for global shipping demand. The warning rippled across the industrials sector, keeping the Dow in check.
Gold held near $3,310 as investors continued to seek safe-haven assets ahead of tomorrow's Fed meeting. Oil slipped to $63.80, weighed down by demand concerns. All eyes now turn to Thursday's FOMC statement and Chair Powell's press conference for clues on the rate path.