NASDAQ Index, SP500, Dow Jones Forecasts – Record Tech Rally Fuels Nasdaq; S&P Stable, Dow Softens

Nasdaq Closes at Record High as Dow Retreats from Breakout

Stocks ended mixed on Friday, with the Nasdaq Composite logging a fresh record close while the Dow Jones pulled back below the 46,000 level. Investors are positioning ahead of next week’s highly anticipated Federal Reserve meeting, where a rate cut is broadly expected following signs of labor market cooling.

Nasdaq Extends Rally, Closes Above 22,100

The Nasdaq Composite climbed 0.44% to finish at 22,141.10, marking a new record close as momentum in growth and tech stocks remained strong. The index continues to trade comfortably above its 50-day moving average at 21,233.19, with recent support at 21,033.05 fueling the latest breakout.

AI and semiconductor names were mixed—Nvidia was unchanged, while AMD edged higher. Apple and Salesforce led among mega caps, helping offset modest weakness in Amazon and Cisco. Traders looked past August’s slightly hotter CPI report, focusing instead on rising jobless claims and downward job growth revisions that support a more accommodative policy stance from the Fed.

With the September 17 meeting approaching, expectations are locked in for a 25 basis point cut. Nasdaq’s strength reflects confidence in a dovish pivot that could extend valuation support for tech-heavy names.

S&P 500 Holds Ground, Stays Within Striking Distance of 6,600

The S&P 500 slipped just 0.05% to close at 6,584.29, holding near Thursday’s record finish. The index remains in a constructive technical posture, well above its 50-day SMA at 6,384.89. Key support levels at 6,360.58 and 6,343.86 have held firm through recent pullbacks.

Sector action was muted heading into the weekend. Consumer discretionary and tech names showed modest strength, while energy lagged. Apple slipped slightly, Microsoft rose, and Nvidia remained flat. Despite the month-over-month inflation beat in the CPI, markets stayed focused on labor weakness as a driver for Fed easing.

A decisive move above 6,600 could open the door to 6,700 in the near term, assuming continued macro support and dovish central bank tone.

Dow Pulls Back After Briefly Clearing 46,000

The Dow Jones Industrial Average fell 273.78 points, or 0.59%, to 45,834.22, retreating from an intraday high of 46,137.20. The index had broken above the 45,073 resistance earlier this month but met selling pressure on Friday. Still, it remains technically strong above both the 50-day (44,806.51) and 200-day (43,178.04) moving averages.

Financials and industrials underperformed, with JPMorgan and Goldman Sachs slipping. Boeing lost ground following renewed supply concerns. While the Dow’s retreat erased weekly gains, its technical uptrend remains intact so long as support near 45,000 holds.

Fed Rate Cut in Focus as Markets Eye Guidance

Traders now turn to the Fed’s September 17 meeting, where a 25 basis point cut is fully priced in. The real market mover will be the tone of Powell’s press conference and updates to the Summary of Economic Projections. Investors are watching for signals on future rate paths and inflation outlooks.

With all three major indexes holding near highs, the Fed’s message could either extend the rally or trigger near-term consolidation. Treasury yields and the U.S. dollar will also be key indicators to watch following the decision.

More Information in our Economic Calendar.