[New York Stock Exchange] Dow Hits Record High as Nasdaq Turns Lower

Market Eyes Warsh’s First FOMC Meeting
Trump Threatens Iran Ahead of MOU
International Oil Prices Rise Over 1%

As markets await the results of the first Federal Open Market Committee (FOMC) meeting under new Federal Reserve Chair Kevin Warsh, the three major U.S. stock indexes showed mixed movements on June 17 (local time). The Dow Jones Industrial Average reached a record high, while the Nasdaq turned downward.

As of 10:05 a.m. at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average stood at 52,233.01 points, up 233.34 points (0.45%) from the previous trading day. The S&P 500 index, which focuses on large-cap stocks, rose 0.57 points (0.01%) to 7,511.77, while the tech-heavy Nasdaq index fell 21.88 points (0.05%) to 26,363.46.

New York Stock Exchange view. New York, USA – Photo by Yoonju Hwang

U.S. President Donald Trump, speaking in Evian-les-Bains, France, where the Group of Seven (G7) summit is being held, stated that the memorandum of understanding (MOU) for a ceasefire with Iran is not a final agreement and warned that airstrikes would resume if Iran fails to behave properly.

During a bilateral meeting with Egyptian President Abdel Fattah el-Sisi, Trump commented on the ceasefire MOU, saying, "It's not final, it's just an MOU," and added, "If I don't like it or if they don't behave properly, we will drop bombs right in the middle of their heads again."

He further explained, "Because they have not behaved properly for 47 years."

In response, international oil prices are rising. On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude for July delivery is trading at $77.16 per barrel, up 1.45% from the previous session. Brent crude for August delivery on the ICE Futures Exchange is at $79.95, up 1.29% from the previous session.

Semiconductor stocks are generally trending upward. However, SpaceX, which had risen for three consecutive trading days since its listing, fell 2.25% to $197.46 from the previous day. Intel rose 2.04% as it began production of its next-generation 18A-P semiconductor. Investor sentiment appears to have improved as Intel moved a step closer to securing a chip production contract for Apple devices. In addition, ASML Holding rose 5.40%, Broadcom gained 4.53%, and TSMC increased by 2.36%.

The market's main focus today is the FOMC results, which will be announced at 2 p.m. This marks Chair Warsh's first policy decision and will provide insight into the new leadership direction at the Fed.

The market expects the Fed to keep interest rates unchanged at 3.50%–3.75%. However, Wall Street Fed experts believe that Chair Warsh is unlikely to comment on how individual committee members foresee the future direction of rates during the FOMC’s quarterly rate outlook announcement.

James Demmert, Chief Investment Officer at Main Street Research, said, "Falling oil prices help ease inflation, but they can also stimulate economic activity and justify future rate hikes. Even though Chair Warsh is under pressure to cut rates, I wouldn't be surprised if he mentions accelerating economic growth and the possibility of future rate increases."

This content was produced with the assistance of AI translation services.