Major U.S. equities indexes moved higher in the midweek session as the Federal Reserve released minutes from its latest policy meeting.
The minutes showed that policymakers had differing opinions about the appropriate magnitude of the central bank's interest rate cut in September. The records from the proceedings offered some insight into how Fed members may approach upcoming policy decisions at their next meeting in November and beyond.
The S&P 500 added 0.7%, posting an all-time closing high for the first time this month. The Dow jumped 1.1%, also notching a record close, while the Nasdaq was up 0.6%.
Shares of cruise operators sailed higher following positive comments from Citi analysts. According to Citi, the cruise industry saw record traffic in December, and pricing data suggests a strong performance into next year and beyond. Norwegian Cruise Line Holdings (NCLH) shares led the S&P 500 higher with gains of 10.9%, while shares of Royal Caribbean Cruises (RCL) and Carnival (CCL) were up 5.3% and 7.0%, respectively.
Upbeat analyst commentary also helped lift shares of specialty glass maker Corning (GLW), which added 4.8% on Wednesday. Deutsche Bank boosted its price target on Corning stock, pointing to a reacceleration of growth in the company's fiber optics business. Fiber optic cables are an important part of artificial intelligence (AI) infrastructure, linking users to the data centers that process AI queries. Based on Corning's significant share in the fiber optics market, the company stands to benefit from the expansion of AI.
Super Micro Computer (SMCI) stock was up 4.3% on the day. Shares of the server and data storage provider have seen significant volatility this week, soaring on Monday after the company touted strong deliveries of its graphics processing units but giving back some of those gains on Tuesday. Supermicro also highlighted this week that it has recently deployed a new liquid cooling technology for servers and AI data centers.
Shares of several utility companies moved lower on Wednesday, receding from the all-time highs they posted last week amid enthusiasm for their opportunity to provide power for energy-intensive AI processes. Several analysts pointed to high valuations following the massive rally, suggesting it may be difficult for the utility stocks to maintain their momentum. Constellation Energy (CEG) shares dropped 6.1%, marking the steepest loss of any stock in the S&P 500. Shares of NRG Energy (NRG) and Vistra (VST) fell 5.3% and 3.0%, respectively.
Boeing (BA) shares lost altitude, descending 3.4% after the aircraft manufacturer withdrew its contract offer for machinists who went on strike starting last month. S&P Global said the strike was affecting Boeing's financial position and warned that it may lead the ratings agency to downgrade the company's debt.
Match Group (MTCH) shares sank 2.3% Wednesday. The operator of online dating platforms announced earlier this week that it will be transitioning to a new chief financial officer (CFO) early next year.
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