[BRIEFING.COM] The tech-heavy Nasdaq Composite (-0.41%) is in last place as we approach two hours left on the session; looking ahead to the top of the hour the FOMC will announce its latest policy decision and the Treasury is slated to release its monthly budget report.

Gold futures settled $11.50 lower (-0.3%) at $4,224.70/oz, as traders took profits and positioned cautiously ahead of the Fed meeting, with firmer Treasury yields briefly denting demand for non-yielding assets. Momentum in other metals, particularly silver, also drew some attention away from bullion, keeping gold on the back foot.

Meanwhile, the U.S. Dollar Index is down about -0.3% to $98.97.

[BRIEFING.COM] The Dow Jones Industrial Average (+0.38%) is in first place on Wednesday afternoon, up about 181 points.

A look inside the DJIA shows that Nike (NKE 65.22, +1.89, +2.98%), American Express (AXP 373.07, +9.16, +2.52%), and Johnson & Johnson (JNJ) hold solid gains.

Meanwhile, Microsoft (MSFT 477.12, -14.90, -3.03%) is at the bottom of the average.

The DJIA is now -0.45% lower week-to-date.

[BRIEFING.COM] The S&P 500 (+0.1%), Nasdaq Composite (-0.2%), and DJIA (+0.4%) have spent the first half of today's action in a familiar, muted fashion ahead of the 2:00 p.m. ET FOMC decision. 

The market has been expecting a 25-basis point rate reduction at the December FOMC meeting for the past several weeks, though it is anticipated that commentary will have a hawkish tilt toward additional near-term easing. 

As a result, equities have seen some subdued sessions this week, with the major averages holding modest week-to-date losses as a result. 

The tech-heavy Nasdaq Composite trails its peers today as the information technology sector (-0.6%) lags, though the sector has rebounded from even steeper losses this morning. Microsoft (MSFT 481.76, -10.26, -2.09%) and NVIDIA (NVDA 182.84, -2.13, -1.15%) are the worst-performing "magnificent seven" names today, putting pressure on the Vanguard Mega Cap Growth ETF (-0.4%). 

Meanwhile, Oracle (ORCL 219.72, -1.82, -0.82%) and Broadcom (AVGO 403.37, -2.92, -0.72%) trade with more modest losses ahead of their earnings reports this week. 

The communication services sector (-0.4%) also faces some mega-cap weakness from Meta Platforms (META 649.92, -7.04, -1.07%).

Elsewhere in the sector, Warner Bros. Discovery (WBD 29.54, +1.28, +4.51%) widens its week-to-date gain to 13.3% as the takeover battle for the company intensifies. Bloomberg reported that Paramount Skydance (PSKY 14.83, +0.19, +1.27%) could substantially increase its unsolicited all-cash $30 per share offer. 

The utilities sector (-0.4%) rounds out the three retreating S&P 500 sectors, while eight trade higher. 

Gains are relatively modest, which has several sectors vying for the top spot on today's leaderboard.

The health care sector (+0.8%) is one of those names, rebounding from a 1.0% slide yesterday. The sector has faced pressure in December after a run of outperformance in November that coincided with some shakiness in the AI trade. 

The industrials sector (+0.8%) holds a nearly identical gain, supported by a rally in GE Vernova (GEV 713.12, +87.82, +14.04%) after the company issued upbeat guidance and provided an optimistic long-term financial outlook. 

Finally, the consumer discretionary sector (+0.8%) rounds out the three-way tie atop today's standings. Amazon (AMZN 231.45, +3.53, +1.55%) and NIKE (NKE 65.28, +1.96, +3.09%) provide solid support, while strength in homebuilder names sends the iShare U.S. Home Construction ETF 1.4% higher. 

Outside of the S&P 500, the Russell 2000 (+0.1%) adds modest gains to this week's run of outperformance, reflecting the prevailing view that the Fed will deliver a rate cut at today's meeting.

Overall, the broader market continues to drift in wait-and-see mode, with investors reluctant to make meaningful moves until Fed Chair Powell's remarks provide clearer direction this afternoon.

Reviewing today's data:

• Weekly MBA Mortgage Applications Index 4.8%; Prior -1.4%
• Q3 Employment Cost Index 0.8% (Briefing.com consensus 0.9%); Prior 0.9%
  • The key takeaway from the report is that it was an inflation-friendly report, evidenced by wages and salaries decelerating on a year-over-year basis for civilian workers (3.5% vs 3.9% a year ago), private industry (3.6% vs 3.8% a year ago), and state and local government workers (3.5% vs 4.6% a year ago).

[BRIEFING.COM] The major averages remain seated in a mixed fashion within 0.5% of their unchanged levels just after midday. 

GE Vernova (GEV 710.26, +84.96, +13.59%) is the top advancing S&P 500 name by a wide margin today, notching record highs after the company reaffirmed its FY25 revenue outlook, issued in-line FY26 guidance, provided long-term financial projections, and significantly boosted capital returns with a doubled quarterly dividend to $0.50 per share and a $10 billion buyback authorization. The company sees its equipment and services backlog reaching $200 billion by 2028, fueled by surging U.S. electricity demand from data centers, AI compute growth, and widescale electrification across industry and transportation.

The stock is looking like one of the most compelling large-cap energy transition plays thanks to accelerating secular demand for electricity, a rapidly swelling backlog, and a clearer roadmap to recurring service revenue later in the decade.

GE Vernova's gain helps keep the industrials sector (+0.7%) at the top of today's leaderboard

The financials sector (+0.6%) is not far off, recovering nicely from a slightly lower finish yesterday. JPMorgan Chase (JPM 306.00, +5.49, +1.83%) has clawed back a chunk of yesterday's 4.6% retreat that followed the disclosure of higher-than-expected 2026 firmwide expenses.

[BRIEFING.COM] The S&P 500 (+0.1%), Nasdaq Composite (-0.2%), and DJIA (+0.5%) sit near session highs as the top-weighted information technology sector (-0.5%) narrows its loss.

Elsewhere, Amazon (AMZN 231.30, +3.38, +1.48%) announced that its same-day grocery delivery service is now available in over 2,300 cities and towns, with continued expansion planned for 2026. 

The announcement has weighed heavily on other companies in the food delivery industry, including Instacart (CART 43.64, -2.60, -5.61%), DoorDash (DASH 221.26, -8.73, -3.80%), and Uber (UBER 84.77, -4.30, -4.83%)

[BRIEFING.COM] The S&P 500 (+0.1%), Nasdaq Composite (-0.5%), and DJIA (+0.2%) sit mixed just before midday in another relatively muted session as investors await the results of this afternoon's FOMC meeting. 

The major averages all hold losses of roughly 0.3% for the week, reflecting some caution ahead of the last FOMC decision of the year. 

Meanwhile, the Russell 2000 (+0.1%) holds a 0.3% gain for the week, highlighting the prevailing view that the Fed will deliver a rate cut at today's meeting, though commentary may be hawkish towards additional easing in the near term. 

Currently eight S&P 500 sectors hold gains, though growth at the index level is limited by a 0.7% slide in the information technology sector. Microsoft (MSFT 479.72, -12.30, -2.50%) and NVIDIA (NVDA 182.60, -2.36, -1.28%) provide weak leadership, contributing to weakness in the Vanguard Mega Cap Growth ETF (-0.5%). 

Elsewhere, there is a handful of notable stock-specific moves, though like previous sessions this week, they have done little to influence the major averages. GE Vernova (GEV 704.30, +79.00, +12.63%) captured a new all-time high issuing upbeat guidance, while Warner Bros. Discovery (WBD 29.38, +1.12, +3.95%) pads its gains for the week amid an intensifying takeover battle. 

[BRIEFING.COM] The major averages remain mixed near their flatlines.

Warner Bros. Discovery (WBD 29.43, +1.17, +4.13%) trades higher again today, widening its week-to-date gain to 12.9% as the bidding war for the company continues to ramp.

Bloomberg reported that Paramount Skydance (PSKY 15.18, +0.54, +3.65%) could raise its $30 per share offer significantly higher in an effort to offset the $2.8 billion termination fee that Warner Bros. would have to pay Netflix (NFLX 94.78, -1.92, -1.99%) if it exited the agreement the two companies struck last week. 

The communication services sector (-0.3%) remains lower, pressured by another weak showing from Meta Platforms (META 648.99, -7.97, -1.21%).

[BRIEFING.COM] The S&P 500 (flat), Nasdaq Composite (-0.2%), and DJIA (+0.2%) are little changed from their opening lines, with weakness in the information technology sector (-0.5%) continuing to stifle gains at the index level despite a backdrop of broader-market strength. 

The slight dip in the Nasdaq Composite means that the major averages now all sit in modestly negative territory for the week. 

Despite today's weakness, the technology sector is the only S&P 500 sector that holds a gain for the week (+0.5% week-to-date) after a particularly strong showing on Monday. 

Oracle (ORCL 220.83, -0.70, -0.32%) trades modestly lower ahead of its earnings release this afternoon, while Broadcom (AVGO 402.87, -3.42, -0.84%) holds a wider loss ahead of its earnings release tomorrow after the close. 

[BRIEFING.COM] The S&P 500 (flat), Nasdaq Composite (-0.3%), and DJIA (+0.2%) had another subdued opening as the market continues to move sideways ahead of the December FOMC decision this afternoon. 

Gains at the index level are hampered by a 0.6% dip in the information technology sector, which is the widest loss across the eleven S&P 500 sectors. Microsoft (MSFT 480.84, -11.18, -2.27%) is a laggard across mega-cap names (the Vanguard Mega Cap Growth ETF is down 0.2%), and Intel (INTC 39.59, -0.91, -2.24%) is a laggard among chipmakers (the PHLX Semiconductor Index is also down 0.2%). 

Only the utilities (-0.4%) and communication services (-0.3%) sectors join the technology sector in negative territory, while eight sectors trade higher. 

Meanwhile, the industrials sector (+0.9%) tops the early leaderboard, supported by a sharp gain in GE Vernova (GEV 713.67, +88.37, +14.13%) after the company reaffirmed its FY25 guidance, provided FY26 guidance, and raised its multi-year financial outlook. The company also doubled its quarterly dividend to $0.50 per share and increased buyback authorization to $10 billion. 

The consumer discretionary sector (+0.7%) holds a similar gain, supported by strength in Amazon (AMZN 231.14, +3.22, +1.41%) and a rebound in homebuilder names after some weakness yesterday. 

Equity futures point to another flattish opening this morning, keeping in line with the market's recent meandering ahead of the December FOMC decision at 2:00 p.m. ET. 

Compensation costs for civilian workers increased 0.8% (Briefing.com consensus: 0.9%), seasonally adjusted, for the 3-month period ending in September 2025. That was a moderation from the 0.9% increase registered in the second quarter.

The key takeaway from the report is that it was an inflation-friendly report, evidenced by wages and salaries decelerating on a year-over-year basis for civilian workers (3.5% vs 3.9% a year ago), private industry (3.6% vs 3.8% a year ago), and state and local government workers (3.5% vs 4.6% a year ago).

The S&P 500 futures currently trade two points above fair value. 

Equity indices in the Asia-Pacific region ended the midweek session on a mostly lower note. The Chinese government will reportedly limit access to NVIDIA's H200 chips even though the Trump administration is removing restrictions on exports of those products. China's CPI deflated unexpectedly in November (-0.1% m/m) but the year-over-year reading accelerated to 0.7% from 0.2% in October. This was the fastest yr/yr rate of increase since February 2024. Taiwan's exports jumped 56% yr/yr in November, representing the fastest increase in 15 years. U.S. Trade Representative Greer said that the trade deal with Indonesia is at risk due to Indonesia backtracking on multiple commitments.

• In economic data:
  • China's November CPI -0.1% m/m (expected 0.2%; last 0.2%); 0.7% yr/yr, as expected (last 0.2%). November PPI -2.2% yr/yr (expected -2.0%; last -2.1%)
  • Japan's November PPI 0.3% m/m, as expected (last 0.5%); 2.7% yr/yr, as expected (last 2.7%). December Reuters Tankan Index 10 (last 17)
  • South Korea's November Unemployment Rate 2.7% (last 2.6%)
  • New Zealand's October Visitor Arrivals 0.6% m/m (last 2.9%) and External Migration and Visitors 9.4% yr/yr (last 9.6%)

---Equity Markets---

• Japan's Nikkei: -0.1%
• Hong Kong's Hang Seng: +0.4%
• China's Shanghai Composite: -0.2%
• India's Sensex: -0.3%
• South Korea's Kospi: -0.2%
• Australia's ASX All Ordinaries: -0.1%

Major European indices trade on a mostly lower note, though overall movement has been limited. European Central Bank policymakers continued speaking in favor of maintaining current policy with members Sinkus and Villeroy de Galhau saying that rate changes are not needed at this time. Germany's Chemical Industry Association saw a 1% drop in 2025 revenue with little hope for improvement in 2026. The Bank of France expects Q4 GDP to decelerate to 0.2% from 0.5% in Q3.

• In economic data:
  • Italy's October Industrial Production -1.0% m/m (expected -0.3%; last 2.7%); -0.3% yr/yr (expected 0.2%; last 1.4%)

---Equity Markets---

• STOXX Europe 600: -0.1%
• Germany's DAX: -0.5%
• U.K.'s FTSE 100: +0.4%
• France's CAC 40: -0.3%
• Italy's FTSE MIB: -0.3%
• Spain's IBEX 35: +0.1%

The S&P 500 futures currently trade six points above fair value. 

Just released, the Q3 Employment Cost Index increased 0.8% (Briefing.com consensus: 0.9%) for the 3-month period ending in September 2025.

Equity futures are pointing to a flattish start, as participants show restraint in front of the FOMC decision at 2:00 p.m. ET and Fed Chair Powell's press conference at 2:30 p.m. ET.

The market is expecting the FOMC to cut the target range for the fed funds rate by 25 basis points to 3.50-3.75%. However, it is also expecting this decision to be a "hawkish cut," which is to say that an assumption is being made that Fed Chair Powell will communicate the committee's thinking that another rate cut is unlikely to happen soon.

There has been a smattering of corporate news, but the market's fixation this morning is on the Fed meeting, with some peripheral attention being paid to rising bond yields ahead of that meeting. The 10-yr note yield is at 4.20%, up 19 basis points this month.

In corporate news:

• AeroVironment (AVAV) misses by $0.34, reports revs in-line; guides FY26 EPS below consensus, revs below consensus
• Cracker Barrel (CBRL) beats by $0.05, reports revs in-line, comparable store restaurant sales decreased 4.7%; lowers FY26 revenue and adjusted EBITDA guidance
• GE Vernova (GEV) reaffirms FY25 guidance, provides FY26 guidance, and raises multi-year financial outlook; also doubles quarterly dividend to $0.50/share and increases buyback authorization to $10 bln
• Marvell (MRVL) CEO Matt Murphy responds to reports of lost business from Amazon (AMZN) in CNBC interview; says "those orders are in the books"
• Mastercard (MA) increases quarterly cash dividend 14% to $0.87/share from $0.76/share and approves $14 billion share repurchase program
• Oracle (ORCL) to report earnings results after the close

Reviewing overnight developments:

Equity indices in the Asia-Pacific region ended the midweek session on a mostly lower note. Japan's Nikkei: -0.1%, Hong Kong's Hang Seng: +0.4%, China's Shanghai Composite: -0.2%, India's Sensex: -0.3%, South Korea's Kospi: -0.2%, Australia's ASX All Ordinaries: -0.1%.

In news:

• The Chinese government will reportedly limit access to NVIDIA's H200 chips even though the Trump administration is removing restrictions on exports of those products.
• China's CPI deflated unexpectedly in November (-0.1% m/m) but the year-over-year reading accelerated to 0.7% from 0.2% in October. This was the fastest yr/yr rate of increase since February 2024.
• Taiwan's exports jumped 56% yr/yr in November, representing the fastest increase in 15 years. U.S.
• Trade Representative Greer said that the trade deal with Indonesia is at risk due to Indonesia backtracking on multiple commitments.

In economic data:

• China's November CPI -0.1% m/m (expected 0.2%; last 0.2%); 0.7% yr/yr, as expected (last 0.2%).
• November PPI -2.2% yr/yr (expected -2.0%; last -2.1%)
• Japan's November PPI 0.3% m/m, as expected (last 0.5%); 2.7% yr/yr, as expected (last 2.7%).
• December Reuters Tankan Index 10 (last 17) South Korea's November Unemployment Rate 2.7% (last 2.6%)
• New Zealand's October Visitor Arrivals 0.6% m/m (last 2.9%) and External Migration and Visitors 9.4% yr/yr (last 9.6%)

Major European indices trade on a mostly lower note, though overall movement has been limited. STOXX Europe 600: -0.1%, Germany's DAX: -0.5%, U.K.'s FTSE 100: +0.3, France's CAC 40: -0.3%, Italy's FTSE MIB: -0.3%, Spain's IBEX 35: -0.9%.

In news:

• European Central Bank policymakers continued speaking in favor of maintaining current policy with members Sinkus and Villeroy de Galhau saying that rate changes are not needed at this time.
• Germany's Chemical Industry Association saw a 1% drop in 2025 revenue with little hope for improvement in 2026.
• The Bank of France expects Q4 GDP to decelerate to 0.2% from 0.5% in Q3.

In economic data:

• Italy's October Industrial Production -1.0% m/m (expected -0.3%; last 2.7%); -0.3% yr/yr (expected 0.2%; last 1.4%)

[BRIEFING.COM] The S&P 500 (-0.1%), Nasdaq Composite (+0.1%), and DJIA (-0.4%) spent the entirety of the session in a tight range near their unchanged levels, while the Russell 2000 (+0.2%) furthered its stretch of outperformance in December. 

Advancers outpaced decliners by a roughly 5-to-4 clip on the NYSE and Nasdaq, an improvement from yesterday's negative breadth figures that reflects the subdued back-and-forth action that has defined the market over the past several sessions. 

Five S&P 500 sectors finished higher, which was also an improvement from yesterday's action that saw only the information technology sector notch a gain. However, relatively subdued performances across the market's largest names limited the size of gains today. 

The information technology sector (+0.2%) managed a more modest gain today, shaking off an opening loss. NVIDIA (NVDA 184.92, -0.64, -0.34%) traded lower despite President Trump stating via Truth Social that the company will be allowed to sell its advanced H200 chips in China, though the U.S. government will take 25% of the profits. 

The consumer discretionary sector (+0.2%) also shook off an early loss, supported by Tesla (TSLA 445.18, +5.60, +1.27%) taking back some of yesterday's 3.4% slide. The stock was a standout across a quiet day for the mega-caps that saw the Vanguard Mega Cap Growth ETF finish flat.

The sector is also home to today's worst-performing S&P 500 name, AutoZone (AZO 3493.36, -273.60, -7.26%). The stock moved sharply lower after posting its sixth consecutive EPS miss.

Meanwhile, the energy sector (+0.7%) captured the widest gain despite crude oil futures settling today's session $0.58 lower (-1.0%) at $58.26 per barrel. Exxon Mobil (XOM 118.23, +2.25, +1.94%) captured a solid gain after updating its 2030 outlook, now targeting $25 billion of earnings growth and $35 billion of cash flow growth.

As for today's retreating sectors, losses were relatively modest, with only the health care sector (-1.0%) closing with a loss of 1.0% or wider. A majority of the sector's components traded lower, though CVS Health (CVS 78.22, +1.69, +2.21%) notched a nice gain after raising its FY25 outlook. 

While the financials sector (-0.3%) did not finish with one of the widest losses, it was subject to one of the more notable intraday swings, moving lower after JPMorgan Chase (JPM 300.47, -14.74, -4.68%) disclosed projected 2026 firmwide expenses of approximately $105 billion. That figure represents roughly 11% growth over the projected 2025 expense base of about $95 billion and lands about 3.6% above current Wall Street expectations for 2026.

While today's action featured some notable stock-specific moves in reaction to earnings and guidance, things remained relatively quiet at the index level as the market awaits tomorrow's FOMC meeting. Several recent sessions of similar narratives leave the major averages mixed for the month of December, with all three indices within 1.0% of their unchanged month-to-date levels, reflecting a market in search of new catalysts heading into the end of the year. 

U.S. Treasuries were lacking buyers today, who exercised restraint in front of the FOMC decision tomorrow. The 2-year note yield settled up three basis points to 3.61%, and the 10-year note yield settled up one basis point to 4.18%. 

• Nasdaq Composite: +22.1% YTD
• S&P 500: +16.3% YTD
• Russell 2000: +13.3% YTD
• DJIA: +11.8% YTD
• S&P Mid Cap 400: +5.7% YTD

Reviewing today's data:

• The October JOLTS report showed 7.670 million job openings versus estimates that were closer to 7.200 million. Job openings in the year-ago period were 7.615 million. Job openings for September were estimated to be 7.658 million based on partial data for businesses that self-reported during the government shutdown and data collected in November after the shutdown.
• The September Leading Economic Index registered a 0.3% decline following an upwardly revised 0.3% decline (from -0.5%) for August.