U.S. major stock indexes close collectively higher, setting new record highs; Dow up 0.29%, Nasdaq up 0.94%, S&P 500 up 0.48%.

U.S. major stock indexes close collectively higher, setting new record highs; Dow up 0.29%, Nasdaq up 0.94%, S&P 500 up 0.48%.

The U.S. stock market closed collectively higher on September 12, 2025, setting new record highs across major indexes. The Dow Jones Industrial Average (^DJI) rose by 0.29%, the Nasdaq Composite (^IXIC) gained 0.94%, and the S&P 500 (^GSPC) increased by 0.48%, reflecting a positive market sentiment .

The rally was driven by several key factors. Firstly, the Federal Reserve's (Fed) quarter-point rate cut, which lowered the federal funds rate from 4.25% to 4.00%–4.25%, aimed to stimulate economic growth by making borrowing cheaper . This monetary easing signals the Fed's commitment to supporting the economy while balancing inflation risks .

Secondly, strategic investments in the technology sector played a significant role. Nvidia's $5 billion investment in Intel, announced on September 18, 2025, led to a surge in Intel's stock price, which rose over 25% intraday . This deal positions Nvidia as a major Intel stakeholder and fosters collaboration on AI-related chips for data centers and PCs . The investment forms part of a broader strategy, with the US government and SoftBank also investing in Intel, totaling around $16 billion .

Additionally, Oracle's impressive stock performance contributed to the market's optimism. Oracle stock surged 81% in 2025, reaching a market cap of $856 billion, driven by the growing demand for its cloud infrastructure services capable of handling AI workloads . The company's robust long-term revenue pipeline, valued at $455 billion, further bolstered investor confidence .

These developments highlight the delicate balance between opportunity and risk in the U.S. stock market. While the Fed's monetary easing and strategic corporate investments have fueled market optimism, geopolitical tensions and inflation pressures remain potential risks. Investors are advised to monitor corporate earnings, economic data, and global developments to navigate potential volatility.