Stock Market Summary – September 16, 2025

Google’s AI-based Gemini app experienced a surge, taking the top spot on Apple’s App Store and reportedly attracting 13 million new users. This achievement also contributed to Alphabet’s entry into the $3 trillion market club alongside Nvidia, Microsoft, and Apple. Alphabet shares have increased by 33% this year compared to Nasdaq’s 16% gain.

MP Materials, the sole large-scale producer of rare earth minerals in the US, witnessed a significant rise in its shares after the company broke its previous record. The company produces 15% of the global supply of rare-earth oxides, key components of high-strength permanent magnets used in various industries such as electric vehicles, wind turbines, mobile devices, and defense systems.

Microsoft announced a significant investment of $30 billion in the UK for its AI infrastructure and operations by 2028. This investment will potentially result in building the UK’s largest supercomputer in partnership with Nscale, a local cloud computing firm.

Today’s stock market also marked an increase in Amazon’s price target to $270 from $250 by Truist due to a rise in Amazon’s North American revenue, roughly $1 billion above the consensus estimate. Shares of Oracle were also on the rise following reports suggesting that it would be running TikTok’s US operations.

Micron Technology saw a surge in its shares following an increase in its price target by Mizuho to $182 from $155. This is mainly due to the expected success of its high bandwidth memory (HBM) based on the ramp of Nvidia’s Blackwell Ultra chip. On the other hand, Goldman Sachs, Bank of America, Citigroup, and JPMorgan witnessed an increase in their price targets by Wells Fargo analyst Mike Mayo. He also raised the price target for Morgan Stanley, which is currently hold-rated.

Nike’s price target was elevated to $74 from $68 by Citi due to the expected earnings beat when the company reports on Sept. 30. According to Citi, better sales and lower selling, general, and administrative expenses are the primary driving factors.

Lastly, Prologis, an industrial real estate owner, experienced an upgrade from Bank of America from hold to buy along with an increase in its price target from $118 to $130.

Netskope is targeting a $7.3 billion valuation in its initial public offering, raising up to $908 million by selling 47.8 million shares at $17 to $19 each. It is leveraging a resurgence in IPO activity after soaring inflation and interest rates squashed the tech deal appetite.

According to Bank of America, gold is favored if federal interest rates are cut due to stubbornly high inflation of 2.9%. Over the past 25 years, the precious metal has never declined in price when the central bank eases monetary policy during high inflation periods. Gold futures have gained over 40% in 2025 alone, reaching $3,729 per ounce.

Wall Street’s Tuesday session saw a slip in S&P 500 and Nasdaq from their record-high closings at the start of the week. Market odds for a total of 75 basis points of Fed easing by the year-end remain high according to the CME FedWatch tool. Stocks making significant moves include Webtoon Entertainment, with shares surging 31% on a Disney digital comic platform deal, and Dave & Buster’s Entertainment, whose shares fell 16% after second-quarter earnings missed expectations.

Investors are bullish ahead of the Federal Reserve decision, marking the highest sentiment since February, as per Bank of America Securities’ latest survey. The central bank is expected to lower interest rates for the first time in 2025, which could further buoy investor confidence. Investors are hopeful that weak economic data hinting at labor market instability might prompt the Fed to implement cuts to stimulate growth. The S&P 500 recently closed above 6,600 for the first time, reflecting this optimism. Concurrently, some market observers warn investors to be cautious of an aggressive easing cycle typically embarked upon by the Fed during downturns. Inflation remains solid, and labor market signs are slowing.