Futures-options merchants work on the ground on the New York Inventory Trade’s NYSE American in New York Metropolis, U.S., Oct. 27, 2025.
Brendan McDermid | Reuters
Shares hit contemporary information on Tuesday after the newest batch of earnings outcomes impressed traders.
The S&P 500 climbed 0.1% after reaching a contemporary all-time intraday excessive earlier within the session. The broad market index was up 0.3% at its peak. The Nasdaq Composite superior 0.2%, whereas the Dow Jones Industrial Common gained 282 factors, or 0.6%. At their respective highs, the tech-heavy Nasdaq rose 0.6%, and the 30-stock Dow jumped about 0.8%.
Shares of United Parcel Service and Wayfair gained 7% and 19%, respectively, after their outcomes for the third quarter each exceeded Wall Road’s expectations. PayPal, which noticed its newest quarterly outcomes prime analyst estimates on the highest and backside traces as nicely, elevated 10% after the corporate advised CNBC that it has partnered with OpenAI to have its digital pockets embedded into ChatGPT, successfully permitting customers to pay for objects discovered by the substitute intelligence software.
To this point, the earnings season is off to a powerful begin. About one-third of S&P 500 firms have reported. Of these, 83% have overwhelmed earnings expectations, per FactSet.
A number of “Magnificent Seven” names are set to report this week, together with Alphabet, Amazon, Apple, Meta Platforms and Microsoft, which collectively account for roughly one quarter of the S&P 500’s whole worth. Amazon introduced it’s going to start layoffs on Tuesday, with the transfer anticipated to quantity to the most important cuts to its workforce within the firm’s historical past. That provides to the slew of job cuts seen within the tech business this 12 months. Apple and Microsoft have been vibrant spots Tuesday, as each shares crossed $4 trillion in worth within the session.
Tuesday marks the beginning of the two-day Fed assembly, the place the central financial institution is predicted to chop its benchmark fee fee for a second time this 12 months. Merchants hoping for a sign from Fed Chair Jerome Powell on Wednesday that the central financial institution will minimize as soon as extra at its last assembly of the 12 months in December, partly pushed by considerations a couple of weakening labor market. The Fed is coping with an financial knowledge blackout given the continuing U.S. authorities shutdown.
“One other batch of strong earnings, indicators of easing inflation pressures, firming fee minimize expectations, and affirmation of a President Trump-Xi assembly later this week underpinned the shopping for stress,” LPL Monetary chief technical strategist Adam Turnquist stated in a notice. “Elementary energy will probably be within the highlight this week, as 30 firms within the NDX report earnings.”
Buyers throughout Monday’s session cheered cooling tensions between the U.S. and China forward of a highly-anticipated assembly between President Donald Trump and China President Xi Jinping on Thursday. Each nations have agreed on a framework for a possible commerce deal, which addresses China uncommon earth minerals restrictions, soybean purchases and TikTok.
The S&P 500 within the earlier session recorded its first-ever shut above the 6,800 degree, whereas the tech-heavy Nasdaq Composite and the Dow Jones Industrial Common likewise closed at document highs. The Russell 2000 small-cap benchmark completed at a brand new all-time excessive as nicely.
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