US stocks ended higher on October 28, 2026, after the Federal Reserve held interest rates steady. Investors also weighed a rebound in chip shares and awaited quarterly results from Microsoft and Alphabet.

Key Takeaways

  • The Dow, S&P 500 and Nasdaq Composite all advanced at Wednesday’s close.
  • The Fed maintained its target rate range at 3.75% to 4%, with two policymakers favoring an increase.
  • Semiconductor shares gained as investors watched technology companies’ spending plans.

US stocks finish higher

The Dow Jones Industrial Average rose 126.21 points, while the S&P 500 and Nasdaq Composite each gained more than 0.3%. The gains followed the Fed decision, though the market moves alone do not establish a cause.

Micron Technology shares rose, and the Philadelphia Semiconductor Index posted its fourth consecutive daily gain. The advance followed a recent selloff and a more than sevenfold increase in quarterly profit at South Korean chipmaker SK Hynix.

ItemDetails
Dow Jones Industrial AverageClosed at 52,503.78, up 126.21 points or 0.24%.
S&P 500Closed at 7,748.03, up 0.33%.
Nasdaq CompositeClosed at 26,561.24, up 0.32%.

Fed holds rates as traders weigh December

In its October policy statement, the Federal Reserve said economic activity was expanding at a strong pace but inflation remained elevated. The decision to hold rates passed 10–2; Lisa D. Cook and Beth M. Hammack preferred a quarter-point increase.

CME FedWatch showed an 87.4% probability of a 25-basis-point increase in December, up from 78.3% on Tuesday. Market-implied probabilities can change and do not guarantee a policy decision.

Company results in focus

Microsoft and Alphabet were due to report quarterly results after the closing bell. Among 200 S&P 500 companies that had already reported, 84% had beaten consensus estimates, according to LSEG data. Analysts estimated aggregate third-quarter earnings growth of 31.8%.

Vertiv shares surged after the company raised its full-year profit and revenue forecasts. Robinhood slipped as cryptocurrency weakness weighed on quarterly profit, while Boston Scientific fell after trimming its annual profit forecast.

Next milestone

Investors were also awaiting Thursday’s Personal Consumption Expenditures report and the advance estimate of third-quarter GDP.

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This FinanceVelix article provides general information, not personalized financial, investment, legal, or tax advice. Market prices, interest rates and economic conditions can change; investments carry a risk of loss. Facts reflect the material available when published and may change. Check important information independently and consult a qualified professional when needed. Mentioning an asset, company, or service is not an endorsement.