Stocks Gain as Markets Digest GDP Report

Stocks were little changed Wednesday as investors analyzed fresh earnings and awaited the Federal Reserve’s interest rate decision. The Dow Jones Industrial Average regained 99.91 points to 44,732.90. The much broader index recovered 15.44 points to 6,386.30. The NASDAQ grew 78.8 points to 21,177.09. Starbucks shares climbed 5% after the coffee chain posted stronger-than-expected revenue for the third fiscal quarter, which boosted confidence in the company’s turnaround efforts. On the other hand, Visa slipped 2% despite quarterly results coming in better than expected. Wall Street will get more earnings after the bell Wednesday, with Meta Platforms and Microsoft set to report. Investors remain largely on standby ahead of the Fed’s interest rate decision. Fed funds futures are pricing in a nearly 98% likelihood of the central bank keeping its key rate at a range of 4.25% to 4.5%. The announcement is set for 2 p.m. ET. At 2:30 p.m. ET, investors will parse Chair Jerome Powell’s comments at a press conference for insights into the path of monetary policy. Trump has tried to pressure the central bank leader to bringing down borrowing costs. A stronger-than-expected reading of U.S. gross domestic product did little to shift investor attention away from interest rates and the stream of corporate earnings. The U.S. economy grew at a 3% clip in the second quarter, the Commerce Department said Wednesday, while economists polled by Dow Jones were looking for 2.3% in the April-through-June stretch. Prices for the 10-year treasury slumped, raising yields to 4.37% from Tuesday’s 4.32%. Treasury prices and yields move in opposite directions. Oil prices advanced 38 cents to $69.59 U.S. a barrel. Gold prices were up 0.2% at $3,331.03 U.S. an ounce.