Market Overview
The stock market today showed resilience as major indexes climbed higher on Wednesday, June 18, 2025, despite ongoing geopolitical tensions in the Middle East. The S&P 500 gained 0.5% to close at 6,010.41, while the Nasdaq Composite advanced 0.6% to 19,637.94. The Dow Jones Industrial Average rose 0.6%, adding 258 points to finish at 42,403.03.
Investors navigated a complex landscape of factors including the Federal Reserve’s latest interest rate decision, escalating tensions between Israel and Iran, and disappointing housing data. Despite these challenges, the markets today maintained positive momentum throughout the session.
Federal Reserve Decision
As widely expected, the Federal Reserve kept interest rates unchanged at their target range of 4.25% to 4.5% following the conclusion of its two-day policy meeting. The central bank signaled it still anticipates two rate cuts before the end of 2025, though policymakers have revised their inflation outlook higher and lowered GDP growth expectations.
“The market’s positive reaction suggests investors are relieved that the Fed maintained its projection for two cuts this year despite recent inflation concerns,” said market analysts watching the stock market live developments.
Fed Chair Jerome Powell’s press conference drew additional attention after President Donald Trump criticized him earlier in the day, calling him “stupid” and questioning whether the central bank would cut rates. Trump specifically noted that “Europe had 10 cuts, and we had none,” expressing frustration over the Fed’s monetary policy stance.
Geopolitical Tensions
The market news today was heavily influenced by the ongoing conflict between Israel and Iran, which entered its sixth day. Iran’s supreme leader, Ayatollah Ali Khamenei, warned that the U.S. would face “irreparable damage” if it entered the conflict, while President Trump called for Iran’s “unconditional surrender” on his Truth Social platform.
Despite these tensions, markets showed remarkable resilience. “The market just seems very keen to fade geopolitical risk,” Zachary Hill, head of portfolio management at Horizon Investments, told CNBC. “That has been historically the right thing to do, so I think that’s kind of what’s driving us so far today.”
Economic Data
New housing construction hit its lowest level in five years, according to data released Wednesday by the Commerce Department. Housing starts ran at a seasonally adjusted annual rate of 1.256 million for May, down 9.8% from April and significantly below economists’ expectations of 1.35 million. Building permits also declined more than anticipated, totaling 1.393 million, a 2% drop from the prior month.
On a positive note, initial unemployment claims for the week ending June 14 totaled 245,000, slightly better than the expected 246,000 and down 5,000 from the previous week.
Notable Stock Movers
Several stocks made significant moves in today’s session. Among the top gainers on the Nasdaq, Gilead Sciences (GILD) rose 2.93% to $111.23, while Intel (INTC) gained 2.45% to $21.31. Tesla (TSLA) climbed 1.93% to $322.79, continuing its recent momentum.
On the downside, PayPal (PYPL) was among the biggest losers on the Nasdaq, falling 3.14% to $68.45. Chinese e-commerce giants JD.com (JD) and Alibaba (BABA) also struggled, dropping 2.20% and 1.53% respectively.
In the Dow Jones, financial stocks performed well with Goldman Sachs (GS) rising 2.17% to $637.72 and JPMorgan Chase (JPM) gaining 2.15% to $275.10. However, Visa (V) was the index’s biggest laggard, falling 3.17% to $346.54.
Earnings Watch
Several companies reported earnings today, including Korn Ferry (KFY), GMS Inc. (GMS), and Aurora Cannabis (ACB) before the market opened. After the closing bell, Smith & Wesson Brands (SWBI) and Gorilla Technology Group (GRRR) are scheduled to release their quarterly results.
Analysts were particularly focused on Korn Ferry, with consensus expectations for earnings per share of $1.25, representing a slight decrease of 0.79% compared to the same quarter last year.
Looking Ahead
As the markets today close on a positive note, investors will be closely monitoring several key factors in the coming days. The ongoing Middle East conflict remains a significant concern, particularly regarding potential impacts on global oil prices and supply chains.
Market participants will also be digesting the implications of the Fed’s latest projections and watching for any signals about the timing of potential rate cuts later this year. With the CBOE Volatility Index down 0.93% to 20.67 points today, the market appears to be maintaining relative calm despite the various uncertainties.
“While today’s market performance was encouraging, investors should remain vigilant about geopolitical developments and upcoming economic data releases,” noted market strategists following the stock market today.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.