Equities rise ahead of tomorrow’s FOMC rate decision – US Market Wrap
Daily Dose, US

Equities rise ahead of tomorrow’s FOMC rate decision – US Market Wrap

The world’s largest technology companies climbed following a selloff that jolted global markets, as traders prepared for the start of the megacap earnings season and the Federal Reserve’s rate decision.

Equities recovered, with the S&P 500 up nearly 1% and the Nasdaq 100 up 1.6%. After losing nearly $600 billion in value, Nvidia gained 8.8%. According to President Donald Trump, Microsoft  is in talks with ByteDance to acquire the US arm of TikTok. The software behemoth surged 2.9%. While technology recovered, the majority of shares in the US stock index declined, reversing the previous session’s advance.

Despite a rough start to the week, a relative air of calm remained as concerns grew that a low-cost artificial intelligence model from Chinese startup DeepSeek would make valuations of the technology that has propelled the bull market difficult to explain.

A key test for AI bulls will be the start of the big-tech reporting season on Wednesday. While earnings from the so-called Magnificent Seven behemoths are still rising – and far outpacing the rest of the market – the group’s profit growth is projected to come in at the slowest pace in almost two years.