October 10, 2025

Get ready for a rollercoaster ride in the U.S. stock market! On Wednesday, tech stocks blasted the markets to new all-time closing highs, and the AI megacaps stole the show again. The Nasdaq jumped 1.12%, nudging past 23,000 points, while the S&P 500 climbed 0.58% to an all-time peak of 6,753.72. Meanwhile, the Dow barely moved, ending flat at 46,601.78. Why the excitement? Investors are eagerly scanning the Federal Reserve's September policy meeting minutes for hints on future interest rate moves. The Fed’s committee seems split — some worry about rising job market risks, others stay alert on inflation. "Most judged that it likely would be appropriate to ease policy further over the remainder of this year," but the exact timing is still a mystery. Markets are betting a near-certain 92.5% chance of a quarter-point rate cut on October 29. "The theme continues to be aggressive growth, with a constant supply of deal announcements, one after the other that are related to the AI space," said Bill Merz, Capital Market Research head at U.S. Bank Wealth Management. Anything linked to AI is grabbing huge attention—and the chip sector leads the charge, with AMD zooming 11.4% this session, adding to a 43% rally this week! Not every sector joined the party. Energy, consumer staples, and homebuilders lagged, hurt by a Mortgage Bankers Association report showing home loan demand fell 4.7% last week despite lower interest rates. Even with market jitters and ongoing U.S. government shutdown entering day eight, investors found a bright spot in gold. This safe-haven metal soared above $4,000 an ounce, as geopolitical risks and economic uncertainties push traders to protect their investments. Merz added, "We've seen in the last few years that stocks and safe havens can work in conjunction with each other. A part of that comes from this dual reality that ... fundamentals, for now, are supporting higher than normal valuation, and simultaneously, deficit spending has to be financed by additional debt." Other notable moves: Datadog jumped 6.2% after a price target hike by Bernstein, Dell stock jumped 9.1% on multiple upgrades, and gold miners like Newmont and Gold Fields rose steadily. On the flip side, Joby Aviation dipped 8.1% after discounting a $514 million share sale. Trading action was lively, too. On the NYSE, advances outnumbered declines nearly 2 to 1, with 469 new highs. The Nasdaq saw 3,007 stocks rise, 1,659 fall, with 129 hitting new highs. Volume was hefty at 20.7 billion shares, well above recent averages. With no fresh government economic data due to the shutdown, all eyes now turn to third-quarter earnings starting next week and the Fed’s next moves. Investors are riding the waves of AI buzz, cautious Fed signals, and uncertainty—making it a masaledar time in the market!

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Tags: U.s. stocks, Federal reserve, Ai stocks, Market gains, Government shutdown, Interest rates,