Stocks Close Higher Ahead of Fed's Interest Rate Meeting

The war in Ukraine and lockdowns in China are also on investors' minds

Deputy Editor
May 3, 2022 at 4:29 PM
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Stocks closed Tuesday higher, just ahead of the Federal Reserve's Wednesday meeting, where the central bank is set to make a pivotal interest rate decision. Many on Wall Street anticipate the Fed will raise rates by 50 basis points. Concerns in the global economy are also mounting, amid the ongoing war in Ukraine and China's new pandemic-related lockdowns. Despite the aforementioned anxieties, the Dow added 67 points today, while the Nasdaq and S&P 500 both finished solidly in the black.

Continue reading for more on today's market, including:

  • Mosaic stock could keep climbing higher after earnings.
  • Why call traders are targeting this ride sharing stock.
  • Plus, CHGG hit multi-year lows; more on Biogen's c-suite move; and analysts blast travel stock.

The Dow Jones Average (DJI - 33,128.79) added 67.29 points, or 0.2% for the day. More than half of the Dow components finished today higher, led by Boeing's (BA) 3.3% pop. Meanwhile, Nike (NKE) lost 2.6% to round out the laggards.

The S&P 500 Index (SPX - 4,175.48) rose 20.1 points, or 0.5% for the day, and the Nasdaq Composite (IXIC - 12,563.76) gained 27.7 points, or 0.2% for the day.

Lastly, the Cboe Market Volatility Index (VIX - 29.25) shed 3.1 points, or 9.6% for the day. 

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5 Things To Know Today

  1. The European Union (EU) is placing new sanctions on Russia, targeting the latter's oil industry, more banks, and entities responsible for disinformation. (Reuters)
  2. Political analysts are reacting to leaked documents showing the Supreme Court plans to overturn Roe v. Wade, and the impact the decision will have on November's midterm elections. (MarketWatch)
  3. Chegg stock hit a 4-year low after a gloomy forecast.
  4. Why this pharmaceutical CEO stepped down recently.
  5. Analysts blasted Expedia stock after earnings.

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Russian Sanctions, Chinese Lockdowns Weigh on Black Gold

Oil prices took a step back on Tuesday, as traders digest news of the EU's latest embargo on Russian crude, as well as the dent on demand in the wake of China's wave of Covid-19 lockdowns. As a result, June-dated crude lost $2.76 or 2.6%, to close at $102.41 per barrel. 

Meanwhile, Treasury yields are pulling back and the U.S. dollar is easing, helping gold futures finish the day with a modest win. One day removed from its worst in two months, June-dated gold managed to add $7.00, or 0.4%, to settle at $1,870.60 an ounce.

 

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