S&P 500 closes higher on Wednesday, Nasdaq adds 2% as investors look past Fed’s rate hike; European stocks close lower 
Stocks gained on Wednesday in an intraday turnaround as investors shook off a quarter-point rate hike from the Federal Reserve and instead focused on comments from Fed Chairman Jerome Powell that acknowledged falling inflation. 
The S&P 500 gained 1.05% to end at 4,119.21, reversing an earlier decline of almost 1%. The Nasdaq Composite added 2% to close at 11,816.32, boosted by gains in chipmakers following strong earnings from Advanced Micro Devices. 
The Fed’s latest hike represented a slowing from its half-point increase in December, giving a nod to investors hoping the central bank would ease off its aggressive tightening campaign. They were further encouraged by Powell’s comments. 
Peloton shares surged 26.5% after the fitness equipment company said its net loss narrowed year over year. Advanced Micro Devices shares gained 12.6% after the semiconductor company reported a fourth-quarter earnings beat. 
Meta shares popped in extended trading on Wednesday after the company reported fourth-quarter revenue that topped estimates and announced a $40 billion stock buyback. Here are the results. 
The pan-European Stoxx 600 index ended the day flat as the announcement loomed. Autos stocks led gains, finishing the trading day up 1.3%. Healthcare stocks, meanwhile, slipped 1.2% to lead losses. 
Swiss drugmaker Novartis reported core operating income of $16.7 billion for 2022, broadly flat year-on-year. 

The pan-European Stoxx 600 index ended the day flat as the announcement loomed. 
It forecast growth in the mid single digits for 2023, when it is due to spin off its Sandoz generics business. 
Novartis Chief Executive Vas Narasimhan told CNBC’s Geoff Cutmore the company had faced challenges in the first half of 2022 including hyperinflation and the ongoing impact of the coronavirus pandemic; but that these factors were stabilizing, providing tailwinds for the year ahead. 
Spanish bank BBVA reported record profits for 2022, attributing the rise to a jump in lending income and a strong performance in Mexico. The 6.42 billion euros ($6.98 billion) net profit for the full year was ahead of analyst expectations. Chair Carlos Torres Vila told CNBC he now expects lower growth than 2022 “but still growth.” 
Inflation in the euro zone came in at 8.5% in January, according to preliminary data released Wednesday. Inflation started to ease in late 2022, showing two consecutive months of a reduction in headline levels. In December, the rate was recorded at 9.2%. 
Source: CNBC, Investing.com