Market Overview
The U.S. stock market is closed today at the market open for the Juneteenth holiday, giving investors time to digest yesterday’s Federal Reserve decision and ongoing geopolitical tensions. In Wednesday’s session, markets finished mixed with the Dow Jones Industrial Average closing at 42,171.66, down 0.10%, while the S&P 500 edged lower by 0.03% to 5,980.87. The tech-heavy Nasdaq Composite bucked the trend, gaining 0.13% to finish at 19,546.27.
Trading will resume Friday morning, with analysts expecting volatility to continue as markets process the Fed’s latest commentary and escalating tensions in the Middle East that have impacted oil prices in recent sessions.
Federal Reserve Holds Steady on Rates
In yesterday’s closely watched announcement, Federal Reserve Chair Jerome Powell maintained the benchmark interest rates in the range of 4.25% to 4.5%. The Federal Open Market Committee (FOMC) signaled expectations for two rate cuts of 25 basis points each in 2025, while revising their 2026 outlook to only 25 basis points of cuts, down from the previously projected 50 basis points.
“The Fed’s decision reflects ongoing economic uncertainty,” said Marcus Reynolds, chief market strategist at Capital Insights. “While inflation has moderated, Powell remains cautious about cutting rates too quickly in the current environment.”
Geopolitical Tensions Impact Commodities
The markets today are processing the impact of escalating conflict between Israel and Iran, which has created volatility in energy markets. Oil prices have bounced between gains and losses, with West Texas Intermediate futures trading near $74.90 per barrel in late Wednesday trading, after reaching their highest levels since January earlier in the week.
Gold futures fell 0.6% to $3,385 an ounce on Wednesday, marking the third straight session of declines. The precious metal had traded as high as $3,470 last Friday near record levels as investors sought safe-haven assets amid geopolitical uncertainty.
Major Stock Movements
Among notable stock movements before today’s market holiday, payment giants Mastercard (MA) and Visa (V) each fell approximately 5% on Wednesday, leading S&P 500 decliners. The drop came as new rules promoting stablecoin could potentially provide merchants with alternatives to traditional card-based payment systems.
Cryptocurrency markets remained active despite the stock market closure, with Bitcoin trading around $104,500, showing resilience despite recent volatility.
In the technology sector, Nvidia (NVDA) has shown strength in recent sessions, rallying 2% on Monday and continuing to trade above its 50-day and 200-day moving averages following its fiscal first-quarter earnings beat in late May.
Amazon (AMZN) hit a buy point of 214.84 in a cup with handle pattern earlier this week, while Tesla (TSLA) faced pressure after Baird downgraded the stock from outperform to neutral.
Apple (AAPL) has been attempting to recover ground above its 50-day moving average after reporting better-than-expected March-quarter results, though investors remain concerned about potential tariff impacts on hardware sales.
Looking Ahead
When markets reopen on Friday, June 20, investors will be watching for several key economic indicators and corporate developments. The week will conclude with the release of manufacturing PMI data that could provide insights into economic activity.
“After today’s market holiday, we expect trading to resume with a focus on how the Fed’s stance and geopolitical developments will shape the second half of 2025,” said Eliza Thompson, market analyst at Global Securities. “The stock market today is closed, but the pause gives investors time to reassess positions in what has been a volatile month for markets.”
With the first half of 2025 nearing its conclusion, the S&P 500 remains up approximately 9.4% year-to-date despite recent volatility, outperforming many global indexes.
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.