By Piyush Shukla

Copyright indiatimes

TIMESOFINDIA.COMUS stocks rally to record highs today with Nasdaq leading, S&P 500 near peak, and Dow extending gains: Intel shares surged more than 25% after Nvidia’s stake announcement.

U.S. stock market rallied strongly on Thursday, September 18, 2025. Investors reacted to a Federal Reserve interest rate cut and a major $5 billion investment from Nvidia into Intel. These moves lifted key indexes and fueled optimism in both technology and broader markets.The Nasdaq jumped over 1%, while the S&P 500 (^GSPC) added 0.6%, pushing closer to a record close. The Dow Jones Industrial Average (^DJI), with its lighter tech exposure, rose 0.3%.Intel shares surged more than 25% after Nvidia’s stake announcement, bringing significant optimism to the chipmaker often seen as struggling. This deal positions Nvidia as a major Intel stakeholder and fosters collaboration on AI-related chips for data centers and PCs. The investment forms part of a broader strategy, with the US government and SoftBank also investing in Intel recently, totaling around $16 billion.The Fed’s quarter-point rate cut was its first in nine months, signaling two more cuts likely in 2025. However, Fed Chair Jerome Powell tempered enthusiasm by pointing out persistent inflation and weakness in the labor market, describing an uncertain “no risk-free path” forward. Weekly jobless claims showed some easing after a recent spike, but hiring has stalled as labor demand and supply slow down.On the corporate front, FedEx is set to report earnings amid challenges from tariff policy changes. Also notable is the bullish performance of the crypto exchange Bullish, which secured key licensing to expand aggressively in the US market.Live Events Financial stocks also contributed to the market’s upward momentum. Major banks posted gains as investors reacted positively to the Fed’s rate cut, which is expected to lower borrowing costs and support lending and investment. Consumer-focused sectors showed resilience as well. Retail and travel stocks rose modestly, reflecting expectations that lower interest rates could increase consumer spending and support economic growth. Analysts noted that the labor market remains strong, with weekly jobless claims below expectations. This stability in employment adds confidence that the economy can handle the Fed’s monetary adjustments without slowing sharply. Despite the positive sentiment, some caution remains. Geopolitical tensions and inflation pressures could pose risks in the coming months. Investors are advised to monitor corporate earnings, economic data, and global developments to navigate potential volatility.Major Indexes Perform Today S&P 500: The index climbed 0.87% to reach 6,658 points, marking a fresh high. Dow Jones Industrial Average: The Dow rose 0.6%, closing at 46,018 points. Nasdaq Composite: Technology shares led the gains as the Nasdaq increased by 1.1%. Markets showed broad strength across sectors, with tech and financial stocks leading the charge.Fed Rate Cut Sparks Market OptimismIn a widely anticipated move, the Federal Reserve announced a quarter-point cut to the federal funds rate, lowering it from a range of 4.25%–4.50% down to 4.00%–4.25%. The monetary policy shift aims to stimulate economic growth by making borrowing cheaper, as concerns about persistent inflation and uncertain employment trends linger. Markets responded swiftly. The S&P 500 climbed 0.87% to an all-time high of 6,658 points, reflecting investor confidence in the Fed’s accommodative stance. Meanwhile, the Dow Jones Industrial Average increased 0.6%, closing at 46,018.32 points. The tech-heavy Nasdaq Composite outperformed, gaining 1.1%, boosted by enthusiasm for technology stocks. This monetary easing signals that the Fed is prioritizing sustained economic momentum, balancing inflation risks with growth objectives.Nvidia reshapes Intel’s fortunes, AI race heats up Nvidia’s $5 billion bet on Intel comes at a pivotal time. Intel stock soared nearly 30% intraday to $32.15, underscoring investor relief after years of missed execution in AI and manufacturing. Alongside Nvidia, the Trump administration and Japan’s SoftBank have poured in billions, but analysts note Intel’s core manufacturing business remains under pressure. “This is a game changer deal for Intel as it now brings them front and center into the AI game,” Wedbush analyst Dan Ives told clients. Yet others, like Bernstein’s Stacy Rasgon, warn that Intel must still fix its bleeding market share in data centers and PCs. The investment may bolster sentiment, but without customer wins, Intel’s turnaround is not guaranteed.Crypto, tariffs, and energy reshape investor focus Corporate and policy headlines are adding new layers to the market story. Crypto exchange Bullish (BLSH) surged 11% after winning a coveted New York BitLicense, clearing the path for a US expansion. FedEx (FDX) reports after the bell, with analysts expecting tariff-driven headwinds to dent earnings after the Trump administration scrapped the “de minimis” rule on low-value imports. Meanwhile, Bank of America spotlighted nuclear power as a $10 trillion global market opportunity, driven by surging electricity demand from AI data centers, electrification, and EV adoption. Stocks like NuScale (SMR) and Oklo (OKLO) have already soared 100% and 350% YTD, as investors reposition for a nuclear “rediscovery.” Taken together, Thursday’s moves show markets are recalibrating around three themes: Fed policy, AI chip bets, and the shifting landscape of energy and trade. With uncertainty high but momentum strong, investors are leaning into risk — betting the Fed’s easing and corporate investments will keep the bull market alive.Top Stocks Today Intel (INTC) Surged over 25% following Nvidia’s $5 billion investment. Strong investor confidence in future semiconductor growth. Boosted the overall tech sector and Nasdaq gains. Nvidia (NVDA) Rose significantly due to the strategic Intel partnership. Strengthened position in AI and chip markets. Positive market sentiment reflected in broader tech rallies. Apple (AAPL) Gained modestly, supported by investor optimism in technology. Benefited from positive sentiment in consumer electronics and AI chip demand. Goldman Sachs (GS) Financial sector leader showing strong gains. Investors welcomed lower interest rates, which may boost lending and profits. Microsoft (MSFT) Slight rise as tech sector continues momentum. Cloud services and AI developments contributed to investor optimism. Tesla (TSLA) Stock climbed moderately on growing EV market confidence. Investors reacting to broader market optimism and potential government incentives. FedEx (FDX) – Reporting earnings later; expected to take a hit from new Trump tariffs. Bullish (BLSH) – Crypto exchange stock jumped 11% after winning a New York BitLicense for US expansion. Microsoft (MSFT) – Mentioned in UK talks on AI partnerships and investments. SoftBank Group (SFTBY) – Recently invested $2 billion in Intel. NuScale (SMR) – Nuclear small modular reactor company, stock up 100% YTD. Oklo (OKLO) – Nuclear energy company, stock up 350% YTD.Strong Economic Data Adds Fuel to Market MomentumUnderlying the market’s rally are improving economic fundamentals. Weekly jobless claims dropped to 231,000, well below forecasts, indicating a resilient labor market that defies fears of slowdown. Additionally, manufacturing activity in the mid-Atlantic region exceeded expectations, signaling healthy industrial momentum. These positive indicators reinforce investor confidence amid mixed economic signals, supporting the case for continued equity market strength. This combination of monetary easing, strategic corporate moves, and cautious economic signals sets a complex but optimistic tone for the US stock market heading into late 2025. The tech sector, particularly semiconductors, is a crucial driver of this momentum.For Americans watching their portfolios, this market environment highlights the delicate balance between opportunity and risk. Staying informed through reputable financial news outlets and evaluating both monetary policy and corporate developments will be crucial in navigating the evolving landscape.Add as a Reliable and Trusted News Source Add Now!
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