Market Roundup: Strong Growth as Investors Were Encouraged by FOMC Decisions

Published: June 25, 2019, 9 p.m.

The major indices stepped up Monday, ahead of the week’s Federal Open Market Committee meeting and renewed tariff concerns. With underwhelming economic data as of late, many are beginning to believe a rate cut is needed to stimulate commercial and consumer activity. Tuesday started off with news that the European Union Central Bank might roll out stimulus as early as July which would benefit a stronger global economy. While trading tapered through the afternoon, the Dow Jones Industrial Average closed higher by 353 points, the S&P 500 Index up by about 28 points, and the NASDAQ Composite gained 109 points. The green rally continued mid-week with the S&P 500 ending the session within 1% of an all-time high. The Federal Open Market Committee left interest rates unchanged but suggested a rate cut may be on the near horizon given rising risks to the economy. The following day, the S&P 500 traded up to an all-time record high. Technology and energy brands bolstered the ascent. The rally ended on Friday as indices closed in red territory following reports that President Donald Trump ordered, then canceled, an airstrike on military installations in Iran. Other economic data was more upbeat, as the National Association of Realtors showed existing home sales increased by 2.5% to an annual rate of 5.34 million units in May versus expectations of 5.25 million. April’s pace was upwardly revised to 5.21 million.