US stocks plateau after significant gains

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    NEW YORK — On Wednesday, U.S. stock markets hovered close to historic highs as the tension eased somewhat in global oil markets, calming investors’ nerves after earlier worries due to the conflict between Israel and Iran. This uneasy truce is fueling optimism that worldwide crude supply chains might remain uninterrupted.
    The S&P 500 index barely shifted amidst subdued trading, standing just 0.8% shy of its record peak achieved in February. Meanwhile, the Dow Jones Industrial Average eased down by 106 points, equating to a 0.2% drop, while the Nasdaq composite gained 0.3%.
    The oil market, central to recent financial waves, saw a stabilization of crude prices after a harsh drop of around $10 per barrel since Monday. Benchmark U.S. crude saw a modest uptick of 55 cents to reach $64.92 per barrel, yet this is still lower than its price before the recent geopolitical tensions began nearly a fortnight ago. Fortunately, a ceasefire between Israel and Iran seems to be holding for now.
    In company news, FedEx shares declined by 3.3%, despite reporting earnings and revenues that surpassed analyst expectations, due to a future profit outlook that was less promising than anticipated by experts. General Mills, the maker of brands like Pillsbury and Progresso, suffered a 5.1% drop in its stock value following disappointing revenue figures, though its profitability exceeded forecasts. The company also cautioned that core profit could decline by 10% to 15% in the upcoming fiscal year.
    Conversely, Bumble saw its shares soar 25.1% after announcing its decision to downsize its workforce by 30%, which translates to around 240 job cuts, aiming to save up to $40 million annually. Adding to the positive gains, QuantumScape’s shares leapt 30.9% following an important development in its solid-state battery manufacturing technique. This type of battery is highly sought after for its prospects of enhancing the capabilities of electric vehicles with greater range, faster charging times, and reduced fire risk, although this innovation poses challenges in large-scale production.
    In another upward market movement, companies linked to the cryptocurrency sector gained traction as the price of bitcoin continued to rise, appealing to risk-embracing investors. Coinbase Global, a leading crypto exchange, saw its shares climb by 3.1% in response to bitcoin surpassing $107,000.
    In summary, the S&P 500 dipped slightly by 0.02 points to settle at 6,092.16. The Dow fell by 106.59 to close at 42,982.43, while the Nasdaq saw an increase of 61.02, hitting 19,973.55.
    As for the bond market, Treasury yields maintained a steady course, with the 10-year Treasury yield declining to 4.28% from 4.30% on the previous day. These rates had already dropped after the Federal Reserve chair indicated the institution is taking a cautious approach before deciding to lower interest rates further.
    Lowering rates could stimulate the economy but also risk ramping up inflation pressures. Fed Chair Jerome Powell reiterated his stance on the importance of observing the impacts of the current trade tariffs imposed by President Donald Trump before making any monetary policy changes. Speaking before a Senate committee, he repeated much of his earlier testimony to the House, emphasizing the need to evaluate economic trends before shifting policy directions.
    Internationally, European markets dipped slightly following mixed movements in Asia, where, notably, Hong Kong and Shanghai indexes surged by 1.2% and 1%, respectively. “The world can now move on to face other difficult choices like tariffs and things like that,” mentioned Frances Lun, CEO of GEO Securities in Hong Kong, suggesting optimism for continued market recovery.