In a bustling trading environment, Thursday witnessed significant movements in the stock market, particularly among small-cap stocks as the Russell 2000 reached a record high. This index has shown remarkable resilience, climbing 10.7% year-to-date. Additionally, it registered a 7.6% increase over the past month and a 4.3% rise thus far in September.
Other major indices also displayed strong performance. The Nasdaq Composite and Nasdaq 100 both gained 16% so far this year, while the S&P 500 rose by 12.8%. The Dow Jones Industrial Average, though lagging behind, still saw an uptick of 8.5% in 2025.
However, challenges persist in different sectors, particularly agriculture. Orange production in Florida has plummeted to levels unseen since 1932, reflecting dire conditions akin to the Great Depression and the Dust Bowl era. The dire state of orange production is mirrored in the market; frozen concentrated orange juice futures have dropped dramatically by 51%.
Meanwhile, private equity companies have drawn considerable attention. Stocks of major players like KKR, Blue Owl Capital, Apollo Global Management, Ares, Blackstone, and Carlyle were closely monitored. KKR experienced a 3.4% increase, but remains 12% away from its January high. Blue Owl’s shares rose by 2.9%, yet are down 28% from earlier in the year. Apollo also saw a 3.4% uptick, while Ares and Blackstone made gains of 2.5% and 2.8%, respectively. Notably, Carlyle’s stock hit a new high, rising 2.6% on the day.
In corporate earnings, FedEx shares surged over 5% following a positive earnings report that exceeded expectations. Coverage on the company’s performance and outlook is anticipated on future broadcasts.
On the macroeconomic front, the bond market reacted to the recent decision by the Federal Reserve, with yields rising and bonds selling off. The yield on the 10-year Treasury reached 4.11%, compared to 3.57% for the 2-year and 3.98% for the 3-month.
Looking ahead, the launch of the iPhone 17 was on the minds of investors, with sales starting Friday. Apple shares have remained relatively stable since the unveiling, down 5% for the year yet up 21% over the past three months.
Another focal point in the market is the ongoing dialogue between the United States and China, as former President Donald Trump prepares for discussions with President Xi Jinping. This meeting is expected to cover significant topics, including TikTok, with potential implications for various sectors.
David Tepper, a prominent investor, appeared on “Squawk Box” and voiced concerns over high valuations in the market, reiterating his sentiment that one cannot “beat the Fed.” Following Tepper’s advice to “buy everything” related to China, several ETFs including the iShares China Large-Cap ETF and the iShares MSCI China ETF have gained significant ground, up 39% and over 40% respectively, in the time since his remarks.
As the market looks to wrap up the week, investors are keeping a close watch on these developments and their potential impact on future trading sessions.
