Stock Market Today: Nasdaq Skyrockets After Meta Earnings, Buyback News
The Dow, on the other hand, closed lower on disappointing guidance from Merck (MRK).


Most stocks jumped out of the gate Thursday, as optimism spilled over from Wednesday's Fed meeting, where the central bank issued its smallest interest rate hike since March 2022.
Solid guidance and big buyback news from Facebook parent Meta Platforms (META) – not to mention one of the best days ever for its stock – gave the risk-on rally some legs. The buying power wasn't widespread, though, as an earnings-induced selloff in drugmaker Merck (MRK) kept the blue-chip Dow Jones Industrial Average in check.
The major benchmarks swung higher late Tuesday after the Federal Reserve raised its benchmark interest rate by 25 basis points (0.25%). This followed a 0.50% hike in December and four straight 0.75% increases prior to that. Meanwhile, Fed Chair Jerome Powell said in a mid-afternoon press conference that the central bank will stay the course in its fight against inflation. Still, markets are actually pricing in rate cuts later this year, according to CME Group.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
On the earnings front, Meta Platforms said fourth-quarter earnings fell 52% year-over-year to $1.76 per share, missing analysts' consensus estimate. Revenue also declined in the three-month period, to $33.7 billion, though this was higher than expected. The company said it expects operating expenses and capital expenditures to be lower this year due to several cost-cutting measures, including layoffs it announced late last year. Meta also unveiled a new $40 billion stock buyback program. In reaction, META stock surged 23.3% – its biggest one-day gain since 2013.
At the close, the Nasdaq Composite was up 3.3% at 12,200, and the S&P 500 was 1.5% higher at 4,179. The Dow, on the other hand, finished down 0.1% at 34,053 as MRK slid 3.3% after the company gave lower-than-expected 2023 guidance due to falling COVID-19 vaccine sales.
The Best Recession-Proof Stocks
Recent stock market price action has been a welcome relief for investors following a turbulent 2022. Still, many market participants remain bearish early on in 2023, according to the results of Morgan Stanley's individual investor pulse survey. The majority of respondents (55%) listed inflation as the top risk to their portfolios, followed by recession risk (49%) and market volatility (44%).
"It's been a challenging market environment as investors navigate through high inflation, geopolitical concerns and recession fears," says Mike Loewengart, head of model portfolio construction at Morgan Stanley. "While these challenges aren't likely to disperse anytime soon, it's important for investors, where appropriate, to remain committed to their plan and consider the diversification of their portfolio. Moving money to the sidelines may sound tempting, but for investors with a lengthier time horizon, staying the course may be beneficial in the long run."
Fortunately for investors, there are solid portfolio choices they can make to help maneuver potential upcoming market challenges. These include choosing the best dividend stocks, as well as the best stocks for rising interest rates. There's also this list of top recession-proof stocks, which include high-quality companies that are well-positioned to traverse an economic downturn.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

With over a decade of experience writing about the stock market, Karee Venema is the senior investing editor at Kiplinger.com. She joined the publication in April 2021 after 10 years of working as an investing writer and columnist at a local investment research firm. In her previous role, Karee focused primarily on options trading, as well as technical, fundamental and sentiment analysis.
-
The 'Vinyl Rule' of Retirement: Plan for Two Sides in Your Next Act
Because “Life is what happens when you’re busy making other plans.”
-
Five Destinations for Active and Chill Travelers Alike
Whether you reach for a paddleboard or a lounge chair, find your groove in a location that offers something for both kinds of travelers.
-
Stocks Slip as Job Growth Stalls: Stock Market Today
The August jobs report came in much weaker than expected, while the unemployment rate ticked higher.
-
Dismal August Jobs Report Offers Rate-Cut Relief: What the Experts Are Saying
The August jobs report came in much lower than expected, lifting the odds that several rate cuts will come through by year's end.
-
S&P 500 Hits New High on Jobs Friday Eve: Stock Market Today
The S&P 500 hit a new all-time closing high and most of the stocks in the Dow Jones Industrial Average were up the day before a critical jobs report.
-
Big Tech Names Rise Above Broad Weakness: Stock Market Today
Some familiar names enjoyed solid rallies on the resolution of outstanding questions, but macro uncertainty hangs over the broader market.
-
Stocks Slide to Start September: Stock Market Today
Seasonal trends suggest tough times for the stock market as we round into the end of the third quarter.
-
If You'd Put $1,000 Into Sherwin-Williams Stock 20 Years Ago, Here's What You'd Have Today
Sherwin-Williams stock has clobbered the broader market by a wide margin for a long time.
-
AI Start-ups Are Rolling in Cash
The Kiplinger Letter Investors are plowing record sums of money into artificial intelligence start-ups. Even as sales grow swiftly, losses are piling up for AI firms.
-
Stocks End Strong Month on a Down Note: Stock Market Today
There was likely a bit of profit-taking ahead of a historically weak September.