Stocks shook off early wobbling Wednesday once oil's surge paused, taking some heat off inflation anxiety and giving yields room to drop. US crude slipped under 90 dollars a barrel and bond yields fell as traders continued to game out the Federal Reserve's rate path.
At 12:25 p.m., the S&P 500 showed a 0.5% gain, pointing to a breather after three down sessions. The Nasdaq 100 was little changed. The market has been unusually placid lately.
Through Tuesday, the S&P 500 chalked up 24 straight trading days without a 1% slide, a calm stretch last seen in mid May. The index sits about 2.1% below its record, and the Cboe Volatility Index hovered near 15, a level that typically does not flag market stress.
Geopolitics is still part of the backdrop. After a short lull, clashes involving the US and Iran for sway over the Strait of Hormuz flared up again, sparking another spike in crude as anxiety mounted that the conflict could stretch on without an end. That surge eased on Wednesday.
Dell Technologies rallied 7.8% after lifting its annual sales outlook by 25 billion dollars, driven by strong demand for servers used in artificial intelligence workloads. GitLab climbed 13% after raising full year revenue guidance above the average analyst estimate.
Not everyone enjoyed the bounce. MongoDB fell 12% as growth in its Atlas product was seen coming in below high expectations. Credo Technology dropped 18%, suggesting a second quarter revenue outlook that topped forecasts still fell short for investors after a 44% run this year.
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FuelCell Energy tumbled 17% after third quarter revenue missed the average analyst estimate. G-III Apparel slid 9.4% following weaker second quarter sales and a third quarter revenue outlook that also missed.
After the close, attention turns to Nvidia rival Broadcom, the third most valuable chipmaker, which reports results. Last week, the largest chipmaker globally said it expects sales to rise 70% in the coming fiscal year, and the shares posted their best session since April 2025, raising the bar for rivals.
Energy shares steadied as crude cooled. Chevron Corp. plans to commit 7 billion dollars over the next five years via joint ventures aimed at boosting Venezuela's crude output by over twofold. The pledge marks the biggest financial outlay to date in a US government-led effort to jump-start the Latin American country's oil sector. Chevron shares rose 0.5% after dipping earlier, as Tuesday's crude spike faded.
Hiring continued in August but at a gentler pace than in the spring, with the month's increase the smallest since the year began. The report lands just ahead of Friday's Labor Department release.
According to Bill Adams of Fifth Third Commercial Bank, who serves as chief US economist, "The miss in ADP's numbers highlights downside risk to Friday's jobs report from the government." "The ADP data show AI is affecting hiring less than other changes in the economy. Several industries where AI has obvious applications are adding jobs, while industries that seem insulated from it are cutting them."
For your wallet, the mix of softer oil, lower yields, and an index still near its highs means even small surprises can swing sentiment. Company guidance and Friday's jobs print are likely to steer the next leg for markets.