Wall Street Rises as S&P 500 Hits New Record High – Forex News by FX Leaders
The S&P 500 reached a record high on Tuesday, February 18, 2025, gaining 0.2% as investors reacted to breaking news about Intelβs potential deals with TSMC and Broadcom. This article breaks down the dayβs top stock movers, key market trends, and what to watch in the holiday-shortened trading week.
S&P 500 Hits New High: Intel Leads Gains
The S&P 500 closed at a record high on Tuesday, gaining 0.2% in a session marked by volatility. The Dow and Nasdaq also edged higher, with both indexes posting gains of less than 0.1%.
Intel (INTC) was the standout performer, with shares surging 16% following reports that chipmaking rivals Taiwan Semiconductor Manufacturing Co. (TSMC) and Broadcom (AVGO) are exploring deals to split Intelβs design and manufacturing assets. According to The Wall Street Journal, Broadcom is considering acquiring Intelβs semiconductor design business, while TSMC is evaluating a takeover of Intelβs manufacturing facilities.
Top Stock Gainers and Losers
Hereβs a quick breakdown of the biggest movers in the S&P 500:
Biggest Gainers
- Intel (INTC): +16% on TSMC and Broadcom deal rumors.
- Super Micro Computer (SMCI): +16% after forecasting strong revenue growth for fiscal 2026.
- Walgreens Boots Alliance (WBA): +14% amid renewed talks of a private equity sale.
Biggest Losers
- Medtronic (MDT): -7% after missing quarterly sales estimates.
- Conagra Brands (CAG): -5.5% due to lowered sales guidance.
- UnitedHealth Group (UNH): -4.4% after FTC merger review guidelines were upheld.
Medtronic Shares Drop on Weak Sales
Medtronic (MDT) shares tumbled over 7% after the medical device maker reported mixed fiscal third-quarter results. While adjusted earnings per share slightly beat estimates, revenue fell short due to declining sales of stapling and blood oxygen management products.
Conagra Brands Lowers Sales Forecast
Conagra Brands (CAG), the parent company of popular grocery brands like Huntβs and Orville Redenbacherβs, saw its shares drop 5.5% after revising its full-year sales guidance. The company cited supply chain challenges and unexpected demand for frozen vegetables as key factors behind the downgrade.
UnitedHealth Group Faces Merger Hurdles
UnitedHealth Group (UNH) shares fell 4.4% after the Federal Trade Commission (FTC) announced it would retain the Biden administrationβs merger review guidelines. This decision could complicate UnitedHealthβs planned acquisition of home and hospice care provider Amedisys (AMED).
Whatβs Next for the Stock Market?
This holiday-shortened trading week could provide critical insights into the Federal Reserveβs policy direction. Key events to watch include:
- Fed Meeting Minutes: Set for release later this week.
- Earnings Reports: Walmart (WMT) and other major companies are scheduled to report.
- Fed Officialsβ Comments: Several central bank officials are expected to speak.
Why Intelβs Surge Matters
Intelβs stock surge highlights the growing importance of strategic partnerships in the semiconductor industry. As demand for advanced chips continues to rise, companies like TSMC and Broadcom are positioning themselves to capitalize on Intelβs assets. Investors should keep a close eye on further developments in this space.