Markets diverged as AI stocks lifted the Nasdaq and S&P 500, while the Dow struggled under pressure from IBM and American Express ahead of a widely expected Fed rate hike.
Space Exploration Technologies climbed 5.7% on news of upcoming Starship test flight and Starlink deployment.
U.S. crude fell more than 3% after a report showed energy inventories rose last week.
Nvidia rose 1.8% as AI infrastructure names bounced after several losing sessions.
Advanced Micro Devices gained 3.8% as AI infrastructure names bounced.
IBM fell 3.3% despite announcing a $1 billion government contract, reflecting negative macro mood.
Nasdaq Composite rose 0.7% as AI infrastructure names bounced.
United States Oil Fund fell 3% tracking the drop in oil prices.
American Express dropped 2.5%, contributing to Dow's flat performance.
Chevron dropped more than 2% as cheaper oil hit energy producers.
ExxonMobil dropped more than 2% as cheaper oil hit energy producers.
S&P 500 added 0.3% amid easing oil and bond yield pressures.
Dow Jones Industrial Average was flat, weighed down by IBM and American Express.
The Nasdaq Composite climbed 0.7% and the S&P 500 added 0.3% on Wednesday as easing oil prices and bond yields provided relief to equity markets. While AI infrastructure names like Nvidia and AMD rebounded, the Dow Jones Industrial Average remained flat, dragged down by losses in IBM and American Express ahead of the Federal Reserve's interest rate announcement.
Investors are anticipating a quarter-point rate hike and are closely watching the Fed's updated Summary of Economic Projections and dot plot for future policy guidance.