📈 Markets Close Mixed: Tech Surges, Energy Dips, and What’s Next for Thursday

By, GLHR Investing Staff Writer September 24, 2025

In a day marked by Federal Reserve Chair Jerome Powell’s cautious remarks on inflation and the job market, U.S. stocks ended with a split verdict on Tuesday. The tech-heavy Nasdaq Composite bucked the broader trend, climbing 0.70% to close at 22,788.98, fueled by strong performances from AI darlings like Apple and Nvidia. Meanwhile, the S&P 500 edged down 0.55% to 6,656.92, and the Dow Jones Industrial Average slipped 0.19% to 46,292.78, dragged by losses in energy and select industrials. This mixed close snaps a three-day streak of record highs for the major indexes, leaving investors pondering if this is a healthy breather or the start of a pullback.

Powell’s first public comments since the Fed’s recent 25-basis-point rate cut emphasized the need to “balance inflation concerns with a weakening job market,” signaling no rush for aggressive easing. His subtle nod to stocks being “fairly highly valued” added fuel to the afternoon sell-off, with declining issues outnumbering advancers 1.61-to-1 on the Nasdaq. Yet, resilience in tech underscored the sector’s dominance—up 2.42% for the week—while energy faltered amid softer oil demand forecasts.

Tech Sector Roars Ahead on AI Tailwinds

The technology sector stole the show, with the S&P 500 tech index surging amid optimism over artificial intelligence investments. Apple (AAPL) led the charge, jumping 4.3% to near all-time highs after Wedbush hiked its price target to $310, citing robust early demand for the iPhone 17. Nvidia (NVDA) and partners like Micron Technology (MU) also shone; Micron’s shares rose 1.1% ahead of its post-bell earnings beat, where the chipmaker reported record $11.32 billion in quarterly sales and upbeat AI-driven guidance.

This tech resilience comes as the sector has climbed over 6% quarter-to-date, outpacing the broader market’s 13% year-to-date gains. Analysts point to hyperscaler spending on AI infrastructure as a key driver, with firms like Morgan Stanley upgrading Chinese semis on similar trends. However, elevated valuations—Powell’s “fairly high” warning—could cap further upside if earnings disappoint.

Energy Sector Stumbles as Oil Outlook Clouds

Contrasting tech’s glow, the energy sector dipped 1.87%, weighed down by crude oil’s volatile slide. Brent crude hovered near $68 per barrel, up 1.6% on Russian supply jitters from Ukrainian strikes, but forecasts from J.P. Morgan and the EIA paint a bearish picture: averages of $66 in 2025 and $59 in Q4, driven by OPEC+ production hikes and softening global demand. Traditional oil names like ExxonMobil (XOM) and Chevron (CVX) lagged, reflecting broader sector fatigue after a 3% weekly climb.

Geopolitical tensions provided a brief lift, but the OECD’s upgraded global growth forecast to 3.2% for 2025—citing resilient emerging markets—did little to offset tariff risks and inventory builds. Midstream players like MLPs held firmer, up 9% since the election on U.S. LNG export bets, but the dip highlights energy’s vulnerability in a high-rate environment.

Broader Economic Backdrop: Resilience Meets Caution

Tuesday’s action unfolded against a tapestry of upbeat yet guarded economic signals. The OECD lifted its U.S. GDP forecast to 1.8% for 2025 (from 1.6%), crediting AI-fueled growth and emerging-market strength, while trimming inflation to 2.7%. Global growth hit 3.2%, defying tariff headwinds, but the group warned of “significant risks” from fiscal strains and financial repricing.

Flash PMI data hinted at softening in the UK and eurozone, but U.S. indicators—like a 20% surge in August new home sales to 800,000—bolstered housing stocks. Gold notched its 37th record close at $3,824.60, a safe-haven play amid yield wobbles (10-year Treasury at 4.23%). Boeing (BA) provided Dow ballast, up 2% on an $8 billion Uzbekistan deal.

What’s Next for Thursday? Eyes on Earnings and PCE

Looking to Thursday, September 25, markets face a pivotal test with Friday’s core PCE inflation report looming—the Fed’s preferred gauge. Expectations: 0.1% monthly rise, but any upside surprise could dash hopes for a October rate cut, per Bloomberg’s two-cut pricing for 2025. Micron’s after-hours beat (EPS $3.03 vs. $0.57 est.) lifted shares 0.7%, signaling AI memory strength, while Oracle’s 2% pre-market drop tempers tech euphoria.

Analysts like BTIG’s Jonathan Krinsky see near-term pressure but year-end S&P targets at 6,000 (down from 6,500 on tariff drags). Small-caps may rally if GDP holds, per Morningstar, but watch energy for rotation plays. Investors: Diversify beyond megacaps—value and midstream offer hedges against volatility.

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