Stock Market Today: S&P 500 gains as Amazon jumps to join $2T club for first time

Stock Market Today: S&P 500 gains as Amazon jumps to join $2T club for first time

Investing.com -- The S&P 500 closed just higher Wednesday as surge in Amazon to a record high helped push tech higher just days ahead of key inflation data.

At 16:00 ET (20:00 GMT), the S&P 500 gained 0.1%, and NASDAQ Composite rose 0.5%, the Dow Jones Industrial Average traded 16 points, or 0.04% higher,

Nvidia gives some gains to blunt tech advance; Amazon joins $2 trillion club

NVIDIA Corporation (NASDAQ:NVDA) gave up early day gains to close just above the flatline, a day after the chipmaker rallied more than 7%, though investor sentiment on the stock remains steady amid a AI-infused optimism that has seen the company rack up double digit percentage gains so far this year.

Amazon.com Inc (NASDAQ:AMZN), meanwhile, closed at record high after gaining 4% on the day that took its market cap to $2 trillion.

Inflation data eyed

The week's main economic data release will arrive on Friday, in the shape of the monthly PCE price index, the  Federal Reserve’s preferred inflation gauge.

With the Fed projecting only one interest rate cut in December, all eyes will be on whether the data continue to show a moderation in price pressures.

"Following more sizable improvement in the CPI and outright deflation in the PPI, investors are hoping for a cooler PCE, potentially resulting in a trifecta of goods news for policy makers," Stifel said in a recent note.

Fedex surges on upbeat outlook; Southwest slumps on guidance cut 

FedEx (NYSE:FDX) stock soared 15% after the delivery and logistics giant, whose results are considered to be a possible marker of the state of the global economy, said it now expects to deliver full-year revenue growth in the low- to mid-single digit. Analysts had called for an increase of 3%.

It also unveiled plans for a $2.5 billion share buyback in its current financial year.

Rivian Automotive (NASDAQ:RIVN) jumped 23% after entering into a joint venture with Volkswagen (ETR:VOWG), which will see the German automaker invest an initial $1 billion in the electric vehicle maker.

Southwest Airlines, General Mills slip after guidance spook; banks eyed ahead of stress tests

Southwest Airlines (NYSE:LUV) stock cut the bulk of its losses despite lowering its second-quarter revenue forecast, citing uneven travel demand. The airline said it now expects second-quarter operating revenue per available seat mile to be down 4% to 4.5% compared with prior guidance of down 1.5% to 3.5%.

General Mills (NYSE:GIS) stock fell more than 4% after the packaged foods giant forecast annual profit below estimates and posted a bigger-than-expected drop in quarterly sales hurt by lower demand for its snack bars and pet food, as well as higher input costs.

Banking stocks were also in the spotlight Wednesday ahead of the Federal Reserve's annual stress test, which serves as gauge to whether the largest U.S. banks can withstand an economic shock.

Energy stocks slip as oil prices pare gains amid surprise jump in US crude stockpiles

Energy stocks were the biggest losers on the day, pressured by weakness in oil oil prices after data showed that domestic crude and gasoline stocks unexpectedly increased last week, stoking concerns about demand.

EQT Corporation (NYSE:EQT), Hess Corporation (NYSE:HES), and Halliburton Company (NYSE:HAL) fell about 2% and were among the biggest losers in the energy sector on the day.

(Peter Nurse, Ambar Warrick contributed to this article.)