CVS Q3 Deep Dive: Pharmacy Gains, Aetna Turnaround, and PBM Transition Shape Outlook

Investing.com -- The S&P 500 closed lower Wednesday after easing from intraday record high as the Federal Reserve cut interest rates, though cooled expectations about the certainty of further rate cuts ahead. 

At 4:00 p.m. ET (20:00 GMT), the Dow Jones Industrial Average fell 73 points, or 0.2%, the S&P 500 index closed marginally lower, and the NASDAQ Composite gained 0.6%.

Fed cuts rates, sets up end of QT

The Federal Reserve cut interest rates by 25 basis points on Wednesday for the second time this year, citing concerns about a softening labor market. The central bank also said it would stop reducing the size of its balance sheet as soon as December, marking the end of its quantitative tightening program.

The rate cut decision was largely expected, though there were two Fed members who dissented against decision to cut by 0.25%. 

Fed Governor Stephen Miran continued to advocate for a half-percentage-point interest rate cut at the September meeting. While Kansas City Fed President Jeffrey R. Schmid, preferred no change to the target range for the federal funds rate.

At the press conference, however, Fed chairman Jerome Powell pushed back against expectations that the December rate cut was a "foregone conclusion," saying that it is "far from it." 

Tech earnings to set tone 

In the corporate sector, earnings are due from software giant Microsoft (NASDAQ:MSFT), Instagram-owner Meta Platforms (NASDAQ:META) and Google-parent Alphabet (NASDAQ:GOOGL) after the close on Wall Street.

These results are set to be followed on Thursday by iPhone-maker Apple (NASDAQ:AAPL) and e-commerce titan Amazon (NASDAQ:AMZN).

Such is their massive size and sway over investors that these reports stand to heavily dictate the trajectory of U.S. equities heading into the final months of 2025.

Elsewhere, Nvidia (NASDAQ:NVDA) is in the spotlight, with the chipmaker on course to become the first $5 trillion company, after Trump said he plans to discuss the company’s Blackwell artificial intelligence processors with Chinese leader Xi Jinping, fueling speculation that Washington could ease restrictions on chip exports to China.

Trump had previously signaled that he might consider allowing Nvidia to export a downgraded version of its latest AI processor to China — a move that would mark a major policy shift and potential breakthrough in U.S.-China tech relations.

Elsewhere, Verizon Communications (NYSE:VZ) stock rose after the telecom giant beat estimates for quarterly profit and wireless subscriber additions, as promotions around the recent iPhone launches helped the U.S. wireless service provider attract more customers

Caterpillar (NYSE:CAT) stock gained after the heavy equipment manufacturer reported better-than-expected third-quarter results, with sales helped by resilient demand across its business segments.

CVS Health (NYSE:CVS) stock rose after the pharmacy chain lifted its annual profit outlook, but flagged a $5.7 billion charge linked to an impairment test which showed that the fair value of its struggling health care delivery division was below its carrying value.

On the flip side, Kraft Heinz (NASDAQ:KHC) stock fell after the packaged food giant lowered its annual sales and profit forecasts, signaling persistent weakness in demand for its pricier snacks and pantry condiments from budget-conscious consumers.

Peter Nurse, Ayushman Ojha contributed to this article

Investing.com -- The S&P 500 turned negative after hitting an intraday record high as the Federal Reserve cut interest rates, though cooled expectations about the certainty of further rate cuts ahead. 

At 3:14 p.m. ET (19:14 GMT), the Dow Jones Industrial Average fell 84 points, or 0.2%, higher, the S&P 500 index fell 0.1%, and the NASDAQ Composite gained 0.3%.

All three major U.S. stock indexes hit intraday record closing highs before giving up gains.

Fed cuts rates, sets up end of QT

The Federal Reserve cut interest rates by 25 basis points on Wednesday for the second time this year, citing concerns about a softening labor market. The central bank also said it would stop reducing the size of its balance sheet as soon as December, marking the end of its quantitative tightening program.

The rate cut decision was largely expected, though there were two Fed members who dissented against decision to cut by 0.25%. 

Fed Governor Stephen Miran continued to advocate for a half-percentage-point interest rate cut at the September meeting. While Kansas City Fed President Jeffrey R. Schmid, preferred no change to the target range for the federal funds rate.

At the press conference, however, Fed chairman Jerome Powell pushed back against expectations that the December rate cut was a "foregone conclusion," saying that it is "far from it." 

Tech earnings to set tone 

In the corporate sector, earnings are due from software giant Microsoft (NASDAQ:MSFT), Instagram-owner Meta Platforms (NASDAQ:META) and Google-parent Alphabet (NASDAQ:GOOGL) after the close on Wall Street.

These results are set to be followed on Thursday by iPhone-maker Apple (NASDAQ:AAPL) and e-commerce titan Amazon (NASDAQ:AMZN).

Such is their massive size and sway over investors that these reports stand to heavily dictate the trajectory of U.S. equities heading into the final months of 2025.

Elsewhere, Nvidia (NASDAQ:NVDA) is in the spotlight, with the chipmaker on course to become the first $5 trillion company, after Trump said he plans to discuss the company’s Blackwell artificial intelligence processors with Chinese leader Xi Jinping, fueling speculation that Washington could ease restrictions on chip exports to China.

Trump had previously signaled that he might consider allowing Nvidia to export a downgraded version of its latest AI processor to China — a move that would mark a major policy shift and potential breakthrough in U.S.-China tech relations.

Elsewhere, Verizon Communications (NYSE:VZ) stock rose after the telecom giant beat estimates for quarterly profit and wireless subscriber additions, as promotions around the recent iPhone launches helped the U.S. wireless service provider attract more customers

Caterpillar (NYSE:CAT) stock gained after the heavy equipment manufacturer reported better-than-expected third-quarter results, with sales helped by resilient demand across its business segments.

CVS Health (NYSE:CVS) stock rose after the pharmacy chain lifted its annual profit outlook, but flagged a $5.7 billion charge linked to an impairment test which showed that the fair value of its struggling health care delivery division was below its carrying value.

On the flip side, Kraft Heinz (NASDAQ:KHC) stock fell after the packaged food giant lowered its annual sales and profit forecasts, signaling persistent weakness in demand for its pricier snacks and pantry condiments from budget-conscious consumers.

Peter Nurse, Ayushman Ojha contributed to this article

Investing.com -- The S&P 500 turned negative after hitting an intraday record high as the Federal Reserve cut interest rates, though cooled expectations about the certainty of rate cuts ahead. 

At 2:50 p.m. ET (18:50 GMT), the Dow Jones Industrial Average fell 154 89 points, or 0.2%, higher, the S&P 500 index fell 0.2%, and the NASDAQ Composite lost 0.6%.

All three major U.S. stock indexes hit intraday record closing highs before giving up gains.

Fed cuts rates, sets up end of QT

The Federal Reserve cut interest rates by 25 basis points on Wednesday for the second time this year, citing concerns about a softening labor market. The central bank also said it would stop reducing the size of its balance sheet as soon as December, marking the end of its quantitative tightening program.

The rate cut decision was largely expected, though there were two Fed members who dissented against decision to cut by 0.25%. 

Fed Governor Stephen Miran continued to advocate for a half-percentage-point interest rate cut at the September meeting. While Kansas City Fed President Jeffrey R. Schmid, preferred no change to the target range for the federal funds rate.

At the press conference, however, Fed chairman Jerome Powell pushed back against expectations that the December rate cut was a "foregone conclusion," saying that it is "far from it." 

Tech earnings to set tone 

In the corporate sector, earnings are due from software giant Microsoft (NASDAQ:MSFT), Instagram-owner Meta Platforms (NASDAQ:META) and Google-parent Alphabet (NASDAQ:GOOGL) after the close on Wall Street.

These results are set to be followed on Thursday by iPhone-maker Apple (NASDAQ:AAPL) and e-commerce titan Amazon (NASDAQ:AMZN).

Such is their massive size and sway over investors that these reports stand to heavily dictate the trajectory of U.S. equities heading into the final months of 2025.

Elsewhere, Nvidia (NASDAQ:NVDA) is in the spotlight, with the chipmaker on course to become the first $5 trillion company, after Trump said he plans to discuss the company’s Blackwell artificial intelligence processors with Chinese leader Xi Jinping, fueling speculation that Washington could ease restrictions on chip exports to China.

Trump had previously signaled that he might consider allowing Nvidia to export a downgraded version of its latest AI processor to China — a move that would mark a major policy shift and potential breakthrough in U.S.-China tech relations.

Elsewhere, Verizon Communications (NYSE:VZ) stock rose after the telecom giant beat estimates for quarterly profit and wireless subscriber additions, as promotions around the recent iPhone launches helped the U.S. wireless service provider attract more customers

Caterpillar (NYSE:CAT) stock gained after the heavy equipment manufacturer reported better-than-expected third-quarter results, with sales helped by resilient demand across its business segments.

CVS Health (NYSE:CVS) stock rose after the pharmacy chain lifted its annual profit outlook, but flagged a $5.7 billion charge linked to an impairment test which showed that the fair value of its struggling health care delivery division was below its carrying value.

On the flip side, Kraft Heinz (NASDAQ:KHC) stock fell after the packaged food giant lowered its annual sales and profit forecasts, signaling persistent weakness in demand for its pricier snacks and pantry condiments from budget-conscious consumers.

Peter Nurse, Ayushman Ojha contributed to this article

Investing.com -- The S&P 500 hit another intraday record high as the Federal Reserve cut interest rates and ongoing better-than-expected quarterly earnings from corporates continued to boost risk sentiment.

At 2:12 p.m. ET (18:12 GMT), the Dow Jones Industrial Average gained 154 points, or 0.3%, higher, the S&P 500 index added 0.2%, and the NASDAQ Composite gained 0.6%.

All three major U.S. stock indexes hit intraday record closing highs.

Fed cuts rates, sets up end of QT

The Federal Reserve cut interest rates by 25 basis points on Wednesday for the second time this year, citing concerns about a softening labor market. The central bank also said it would stop reducing the size of its balance sheet as soon as December, marking the end of its quantitative tightening program.

The rate cut decision was largely expected, though there were two Fed members who dissented against decision to cut by 0.25%. 

Fed Governor Stephen Miran continued to advocate for a half-percentage-point interest rate cut at the September meeting. While Kansas City Fed President Jeffrey R. Schmid, preferred no change to the target range for the federal funds rate.

The Federal Reserve’s two-day policy meeting ends later in the session, with a quarter-point rate cut all but priced in.

A prolonged government shutdown has left the Fed without most economic data, including the widely-watched monthly jobs report, to guage the health of the U.S. economy. As such, a lot of the interest will be on comments from Chair Jerome Powell for insight into how the central bank perceives the economy and the likely path of monetary policy.

Also in focus will be whether the central bank finally announces an end to its long-running balance sheet reduction program, known as quantitative tightening.

Global sentiment has also been boosted by news that U.S. President Donald Trump and Chinese President Xi Jinping are set to meet later this week, with negotiators finalizing a framework to avert new tariffs and sanctions.

Tech earnings to set tone 

In the corporate sector, earnings are due from software giant Microsoft (NASDAQ:MSFT), Instagram-owner Meta Platforms (NASDAQ:META) and Google-parent Alphabet (NASDAQ:GOOGL) after the close on Wall Street.

These results are set to be followed on Thursday by iPhone-maker Apple (NASDAQ:AAPL) and e-commerce titan Amazon (NASDAQ:AMZN).

Such is their massive size and sway over investors that these reports stand to heavily dictate the trajectory of U.S. equities heading into the final months of 2025.

Elsewhere, Nvidia (NASDAQ:NVDA) is in the spotlight, with the chipmaker on course to become the first $5 trillion company, after Trump said he plans to discuss the company’s Blackwell artificial intelligence processors with Chinese leader Xi Jinping, fueling speculation that Washington could ease restrictions on chip exports to China.

Trump had previously signaled that he might consider allowing Nvidia to export a downgraded version of its latest AI processor to China — a move that would mark a major policy shift and potential breakthrough in U.S.-China tech relations.

Elsewhere, Verizon Communications (NYSE:VZ) stock rose after the telecom giant beat estimates for quarterly profit and wireless subscriber additions, as promotions around the recent iPhone launches helped the U.S. wireless service provider attract more customers

Caterpillar (NYSE:CAT) stock gained after the heavy equipment manufacturer reported better-than-expected third-quarter results, with sales helped by resilient demand across its business segments.

CVS Health (NYSE:CVS) stock rose after the pharmacy chain lifted its annual profit outlook, but flagged a $5.7 billion charge linked to an impairment test which showed that the fair value of its struggling health care delivery division was below its carrying value.

On the flip side, Kraft Heinz (NASDAQ:KHC) stock fell after the packaged food giant lowered its annual sales and profit forecasts, signaling persistent weakness in demand for its pricier snacks and pantry condiments from budget-conscious consumers.

Peter Nurse, Ayushman Ojha contributed to this article

Investing.com -- The S&P 500 hit another intraday record high, led by a jump Nvidia and ongoing better-than-expected quarterly earnings from corporate ahead of of a much-anticipated Fed interest rate decision.

At 11:57 ET (16:57 GMT), the Dow Jones Industrial Average gained 277 points, or 0.6%, higher, the S&P 500 index added 0.3%, and the NASDAQ Composite gained 0.5%.

All three major U.S. stock indexes hit intraday record closing highs.

Fed set to ease

The Federal Reserve’s two-day policy meeting ends later in the session, with a quarter-point rate cut all but priced in.

A prolonged government shutdown has left the Fed without most economic data, including the widely-watched monthly jobs report, to guage the health of the U.S. economy. As such, a lot of the interest will be on comments from Chair Jerome Powell for insight into how the central bank perceives the economy and the likely path of monetary policy.

Also in focus will be whether the central bank finally announces an end to its long-running balance sheet reduction program, known as quantitative tightening.

Global sentiment has also been boosted by news that U.S. President Donald Trump and Chinese President Xi Jinping are set to meet later this week, with negotiators finalizing a framework to avert new tariffs and sanctions.

Tech earnings to set tone 

In the corporate sector, earnings are due from software giant Microsoft (NASDAQ:MSFT), Instagram-owner Meta Platforms (NASDAQ:META) and Google-parent Alphabet (NASDAQ:GOOGL) after the close on Wall Street.

These results are set to be followed on Thursday by iPhone-maker Apple (NASDAQ:AAPL) and e-commerce titan Amazon (NASDAQ:AMZN).

Such is their massive size and sway over investors that these reports stand to heavily dictate the trajectory of U.S. equities heading into the final months of 2025.

Elsewhere, Nvidia (NASDAQ:NVDA) is in the spotlight, with the chipmaker on course to become the first $5 trillion company, after Trump said he plans to discuss the company’s Blackwell artificial intelligence processors with Chinese leader Xi Jinping, fueling speculation that Washington could ease restrictions on chip exports to China.

Trump had previously signaled that he might consider allowing Nvidia to export a downgraded version of its latest AI processor to China — a move that would mark a major policy shift and potential breakthrough in U.S.-China tech relations.

Elsewhere, Verizon Communications (NYSE:VZ) stock rose after the telecom giant beat estimates for quarterly profit and wireless subscriber additions, as promotions around the recent iPhone launches helped the U.S. wireless service provider attract more customers

Caterpillar (NYSE:CAT) stock gained after the heavy equipment manufacturer reported better-than-expected third-quarter results, with sales helped by resilient demand across its business segments.

CVS Health (NYSE:CVS) stock rose after the pharmacy chain lifted its annual profit outlook, but flagged a $5.7 billion charge linked to an impairment test which showed that the fair value of its struggling health care delivery division was below its carrying value.

On the flip side, Kraft Heinz (NASDAQ:KHC) stock fell after the packaged food giant lowered its annual sales and profit forecasts, signaling persistent weakness in demand for its pricier snacks and pantry condiments from budget-conscious consumers.

Peter Nurse, Ayushman Ojha contributed to this article

Investing.com -- U.S. stocks rose Wednesday, benefiting from generally positive corporate earnings ahead of a much-anticipated Fed interest rate decision.

At 09:35 ET (13:35 GMT), the Dow Jones Industrial Average gained 140 points, or 0.3%, higher, the S&P 500 index rose 20 points, or 0.3%, and the NASDAQ Composite gained 150 points, or 0.6%. 

All three major U.S. stock indexes posted record closing highs on Tuesday.

Fed set to ease

The Federal Reserve’s two-day policy meeting ends later in the session, with a quarter-point rate cut all but priced in.

A prolonged government shutdown has left the Fed without most economic data, including the widely-watched monthly jobs report, to guage the health of the U.S. economy. As such, a lot of the interest will be on comments from Chair Jerome Powell for insight into how the central bank perceives the economy and the likely path of monetary policy.

Also in focus will be whether the central bank finally announces an end to its long-running balance sheet reduction program, known as quantitative tightening.

Global sentiment has also been boosted by news that U.S. President Donald Trump and Chinese President Xi Jinping are set to meet later this week, with negotiators finalizing a framework to avert new tariffs and sanctions.

Tech earnings to set tone 

In the corporate sector, earnings are due from software giant Microsoft (NASDAQ:MSFT), Instagram-owner Meta Platforms (NASDAQ:META) and Google-parent Alphabet (NASDAQ:GOOGL) after the close on Wall Street.

These results are set to be followed on Thursday by iPhone-maker Apple (NASDAQ:AAPL) and e-commerce titan Amazon (NASDAQ:AMZN).

Such is their massive size and sway over investors that these reports stand to heavily dictate the trajectory of U.S. equities heading into the final months of 2025.

Elsewhere, Nvidia (NASDAQ:NVDA) is in the spotlight, with the chipmaker on course to become the first $5 trillion company, after Trump said he plans to discuss the company’s Blackwell artificial intelligence processors with Chinese leader Xi Jinping, fueling speculation that Washington could ease restrictions on chip exports to China.

Trump had previously signaled that he might consider allowing Nvidia to export a downgraded version of its latest AI processor to China — a move that would mark a major policy shift and potential breakthrough in U.S.-China tech relations.

Elsewhere, Verizon Communications (NYSE:VZ) stock rose after the telecom giant beat estimates for quarterly profit and wireless subscriber additions, as promotions around the recent iPhone launches helped the U.S. wireless service provider attract more customers

Caterpillar (NYSE:CAT) stock gained after the heavy equipment manufacturer reported better-than-expected third-quarter results, with sales helped by resilient demand across its business segments.

CVS Health (NYSE:CVS) stock rose after the pharmacy chain lifted its annual profit outlook, but flagged a $5.7 billion charge linked to an impairment test which showed that the fair value of its struggling health care delivery division was below its carrying value.

On the flip side, Kraft Heinz (NASDAQ:KHC) stock fell after the packaged food giant lowered its annual sales and profit forecasts, signaling persistent weakness in demand for its pricier snacks and pantry condiments from budget-conscious consumers.

Crude stable after API data

Oil prices stabilized after recent losses following an unexpected draw in U.S. oil inventories, with trading ranges tight ahead of the conclusion of a Federal Reserve meeting. 

Brent futures gained 0.5% to $64.15 a barrel, and U.S. West Texas Intermediate crude futures traded 0.4% higher to $60.41 a barrel.

The crude market had suffered two straight days of losses following a report that the Organization of Petroleum Exporting Countries and allies, a group known as OPEC+, is considering increasing oil production in December.

Data from industry body American Petroleum Institute, released on Tuesday, showed U.S. crude inventories fell by just over 4 million barrels for the week ended October 24, while gasoline inventories dropped by 6.35 million barrels.

The larger-than-expected draws triggered a short-term price surge during the last trading session and supported the market early this morning.

Ayushman Ojha contributed to this article