Nasdaq futures inched higher on Wednesday as chip sector stocks gained after quarterly orders for semiconductor equipment maker ASML exceeded expectations, while investors awaited the Federal Reserve's interest-rate decision later in the day.
The stock markets are bracing for a volatile day as losses in tech giants Apple and Nvidia might prevent broader gains. The focus shifts to the U.S. Federal Reserve's interest-rate decision. Meanwhile,
(Reuters) - Futures tied to the Nasdaq gained on Wednesday as semiconductor-related stocks rose after chip equipment maker ASML's quarterly orders topped estimates, with focus also on a raft of company results and the Federal Reserve's rate verdict later in the day.
US stocks fall after the Fed held rates steady but suggested the inflation drop has stalled. Meta, Tesla and Microsoft report earnings after the bell.
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The Federal Reserve opted to leave its benchmark interest rate unchanged in its first policy meeting since President Trump's inauguration.
The semiconductor company's share price was down 7% as of 3:45 p.m. ET amid the backdrop of a 1.8% decline for the S&P 500 (SNPINDEX: ^GSPC) and a 3.5% decline for the Nasdaq Composite (NASDAQINDEX: ^IXIC).
The S&P 500 and Nasdaq fell sharply, mainly due to a sell-off in Nvidia and other chipmakers. This comes amid the rise of a free AI assistant from Chinese startup DeepSeek, raising concerns about U.S.
The Nasdaq & S&P 500 fell after Chinese startup DeepSeek shows AI can be built cheaply, sparking fears AI spending will stall. The blue-chip Dow rose.
Affordable, DeepSeek in China competes with AI models from US tech giants Meta (META, Financial) and OpenAI while offering the same performance. Investors were becoming concerned about traditional AI development spending by The Magnificent 7 when they were told DeepSeek was joining the AI market.
The European Central Bank (ECB) cut interest rates again yesterday and signaled more to come as the eurozone economy flatlines, while warning of trade tensions and uncertainty amid US President Donald Trump's protectionist agenda.
Shares of ASML jumped 10.6% after the Dutch company reported better-than-expected fourth-quarter bookings of 7.088 billion euros ($7.39 billion). Its peers ASM International, BE Semiconductor and Infineon gained between 2.7% and 7.5%. Technology was the top winning sector, soaring 4.5%.