Opening Comment — Tuesday, October 28, 2025
DJIA: 47,544.59, up 337.47
S&P 500: 6,875.16, up 83.47
NASDAQ: 23,637.46, up 432.59
Stocks higher ahead of consumer confidence
Stock futures are mostly higher Tuesday morning ahead of today’s release of October consumer confidence and August home price data. The Federal Reserve’s (Fed’s) two-day meeting starts today, with a 25 basis point (0.25%) rate cut expected when the meeting concludes tomorrow. As of 7:17 AM ET, the Dow is rising 0.2%, while the S&P 500 is flat. The Nasdaq 100 is increasing 0.1% relative to fair value on the GLOBEX.
U.S. equities were higher on Monday as the Dallas Fed’s Texas Manufacturing Outlook Survey showed the general business activity index for October posting a stronger-than-expected improvement, though still indicated weakening activity. The Dow was up 0.7% and reached a new record closing level of 47544.59, while the tech-heavy Nasdaq Composite rose 1.9% and hit a new record closing level of 23637.46. The S&P 500 increased 1.2% and set a new record closing level of 6875.16, with nine of 11 sectors finishing in positive territory. The Communication Services sector was the top performer, rising 2.3%, while the Consumer Staples sector was the bottom performer, falling 0.3%.
On the data front, the S&P Cotality Case-Shiller 20-City Home Price Index for August is expected to register a decrease of 0.10% month-over-month (MOM) and an increase of 1.30% year-over-year (YOY), versus the prior month’s decrease of 0.07% and increase of 1.82%, respectively. The Richmond Fed’s October Fifth District Survey of Manufacturing Activity will be released today, with the headline composite manufacturing index expected to improve to negative 12 from the prior month’s negative 17. The Conference Board’s reading of October consumer confidence is projected to come in at 93.4 versus the prior month’s 94.2. The Dallas Fed will release their Texas Service Sector Outlook Survey for October. The Federal Housing Finance Agency’s House Price Index for August may be delayed as the U.S. government shutdown continues.
Across the pond, European stocks are mixed in mid-day trading as Germany’s consumer confidence unexpectedly declined. The European Central Bank’s September Consumer Expectations Survey showed one-year inflation expectations easing slightly to 2.7% and three-year-ahead expectations holding steady at 2.5%.
Overnight in Asia, stocks were mostly lower as South Korea’s advance estimate of third-quarter gross domestic product showed stronger-than-expected growth of 1.2% quarter-over-quarter and 1.7% YOY. Meanwhile, the country’s consumer confidence fell in October.
In FOREX trading, the dollar is slightly lower as investors await a slew of central bank meetings, including the Fed’s two-day policy meeting beginning later today.
Over in the commodity pits, West Texas Intermediate (WTI) crude oil is 1.2% lower at $60.60/barrel as anticipation of a U.S.-China trade resolution was overshadowed by pressure stemming from the Organization of the Petroleum Exporting Countries’ plans to further increase oil output.
In the metals complex, gold is 1.4% lower at $3,927.75/ounce despite a weakening dollar.
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