• Home
  • News
  • Fortune 500
  • Tech
  • Finance
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
InvestingS&P 500

PayPal and UPS are sparking a late-session rally, powering stocks to fresh records

By
Stan Choe
Stan Choe
and
The Associated Press
The Associated Press
Down Arrow Button Icon
By
Stan Choe
Stan Choe
and
The Associated Press
The Associated Press
Down Arrow Button Icon
October 28, 2025, 4:03 PM ET
The New York Stock Exchange on Monday, Oct. 13, 2025.
The New York Stock Exchange on Monday, Oct. 13, 2025.AP Photo/Richard Drew

NEW YORK (AP) — The U.S. stock market is ticking further into record heights on Tuesday.

The S&P 500 added 0.4% in late trading. The Dow Jones Industrial Average was up 265 points, or 0.6%, with a little less than an hour remaining in trading, and the Nasdaq composite was 1% higher. All three indexes are coming off their latest all-time highs.

Moves were also relatively modest in the bond market as Wall Street waits for a few events that could shake things up. On Wednesday, the Federal Reserve will announce its latest move on interest rates, while some of the stock market’s most influential companies will report how much profit they made during the summer. On Thursday, President Donald Trump will meet China’s leader, Xi Jinping, in hopes of smoothing tensions between the world’s two largest economies.

Until then, profit reports from overnight and the morning were the main drivers of Tuesday’s action.

United Parcel Service rallied 7.5% after delivering stronger profit and revenue for the latest quarter than analysts expected. UPS also gave a forecast for revenue in the all-important holiday shipping season that was slightly above analysts’ expectations.

PayPal jumped 6.9% after saying it made a bigger profit during the summer than analysts expected. It also said it plans to pay its shareholders a dividend every three months, while announcing a deal where internet users will be able to pay for purchases through OpenAI’s ChatGPT.

Skyworks Solutions climbed 8.1% after saying it would merge with Qorvo in a cash-and-stock deal where Skyworks shareholders will own roughly 63% of the combined company, valued at $22 billion. Qorvo’s stock rose nearly as much, 7.8%.

On the losing end of Wall Street was Royal Caribbean, which lost 8.7% despite reporting a stronger profit than analysts expected. Its revenue for the latest quarter fell short of expectations. The cruise operator also said it’s seen a “minimal” hit to its business this quarter because of bad weather, along with the temporary closure of one of its exclusive destinations in Haiti.

Homebuilder D.R. Horton sank 3.3% after reporting a weaker profit for the summer than analysts expected. Executive Chairman David Auld said his company is still dealing with homebuyers finding it challenging to afford a house, along with cautious consumer sentiment. He said D.R. Horton will likely have to keep offering incentives in the upcoming fiscal year to attract buyers.

Amazon, meanwhile, rose 1.5% after saying it will cut about 14,000 corporate jobs, or about 4% of its corporate workforce, as it ramps up spending on artificial intelligence while cutting costs elsewhere.

A slowing job market is one of the main reasons Wall Street is expecting the Fed will announce another cut to interest rates on Wednesday. If it does, it would be the second time this year where it’s lowered the federal funds rate in hopes of helping the job market.

The widespread expectation is that the Fed will cut rates for a third time at its final meeting of the year. A lot is riding on that, in part because U.S. stock prices have already rallied to records on expectations for it. That’s why the most important part of Wednesday’s announcement for Wall Street will be whether Fed Chair Jerome Powell gives any hints about upcoming moves.

Fed officials have indicated that they’re likely to keep cutting interest rates into next year, but they may have to change course if inflation accelerates beyond its still-high level. That’s because low interest rates can make inflation worse.

In the bond market, the yield on the 10-year Treasury eased to 3.98% from 4.01% late Monday. A report showing confidence among U.S. consumers is a smidgen better than economists expected had little effect on the market.

In stock markets abroad, indexes were mixed in Europe following modest losses in Asia.

Japan’s Nikkei 225 fell 0.6% from its record high. South Korea’s Kospi sank 0.8% for another one of the world’s larger moves.

Some of the strongest action in financial markets was again for the price of gold. It’s been struggling after an astonishing run this year, setting records and nearly reaching $4,400 per ounce last week. It’s since dropped below $4,000 per ounce, and its gain for the year so far has trimmed to roughly 50%.

___

AP Business Writers Yuri Kageyama and Matt Ott contributed.

Join us at the Fortune Workplace Innovation Summit May 19–20, 2026, in Atlanta. The next era of workplace innovation is here—and the old playbook is being rewritten. At this exclusive, high-energy event, the world’s most innovative leaders will convene to explore how AI, humanity, and strategy converge to redefine, again, the future of work. Register now.
About the Authors
By Stan Choe
See full bioRight Arrow Button Icon
By The Associated Press
See full bioRight Arrow Button Icon

Latest in Investing

A man and robot sitting opposite each other.
AIEye on AI
The problem with ‘human in the loop’ AI? Often, it’s the humans
By Jeremy KahnDecember 9, 2025
1 hour ago
JPMorganChase CEO Jamie Dimon released a list of business leaders and national security experts to advise the investment bank's national-security initiative on Monday.
BankingJPMorgan Chase
Jamie Dimon taps Jeff Bezos, Michael Dell and Ford CEO Jim Farley to advise JPMorgan’s $1.5 trillion national-security initiative
By Nino PaoliDecember 9, 2025
1 hour ago
Netflix
InvestingMarkets
Netflix sinks as concerns mount over risks of Warner Bros. deal
By Felice Maranz, Ryan Vlastelica and BloombergDecember 9, 2025
8 hours ago
EconomyFederal Reserve
A divided Fed meets today, and Wall Street is listening for 4 key words from Powell: ‘In a good place’
By Jim EdwardsDecember 9, 2025
10 hours ago
Zaslav
InvestingM&A
Paramount rips Warner’s sale ‘process’ as it reveals 2-year-long pursuit, escalating bids before going hostile
By Nick LichtenbergDecember 8, 2025
20 hours ago
Paul Singer
Investingactivist investing
Pepsi to cut product offering nearly 20% in deal with $4 billion activist Elliott
By Dee-Ann Durbin and The Associated PressDecember 8, 2025
20 hours ago

Most Popular

placeholder alt text
Real Estate
The 'Great Housing Reset' is coming: Income growth will outpace home-price growth in 2026, Redfin forecasts
By Nino PaoliDecember 6, 2025
3 days ago
placeholder alt text
Investing
Baby boomers have now 'gobbled up' nearly one-third of America's wealth share, and they're leaving Gen Z and millennials behind
By Sasha RogelbergDecember 8, 2025
1 day ago
placeholder alt text
Success
When David Ellison was 13, his billionaire father Larry bought him a plane. He competed in air shows before leaving it to become a Hollywood executive
By Dave SmithDecember 9, 2025
10 hours ago
placeholder alt text
Success
Craigslist founder signs the Giving Pledge, and his fortune will go to military families, fighting cyberattacks—and a pigeon rescue
By Sydney LakeDecember 8, 2025
1 day ago
placeholder alt text
Uncategorized
Transforming customer support through intelligent AI operations
By Lauren ChomiukNovember 26, 2025
13 days ago
placeholder alt text
Success
‘Godfather of AI’ says Bill Gates and Elon Musk are right about the future of work—but he predicts mass unemployment is on its way
By Preston ForeDecember 4, 2025
5 days ago
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Leadership
  • Success
  • Tech
  • Asia
  • Europe
  • Environment
  • Fortune Crypto
  • Health
  • Retail
  • Lifestyle
  • Politics
  • Newsletters
  • Magazine
  • Features
  • Commentary
  • Mpw
  • CEO Initiative
  • Conferences
  • Personal Finance
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map

© 2025 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.