Market Watch: Media Stocks Rally as Vaccine Makers Tumble Amid Fed Rate Decision Anticipation

Warner Bros. Discovery and Paramount Skydance shares extended their rally for a second consecutive session, fueled by speculation of a potential buyout bid. Warner Bros. Discovery surged 16.7%, marking the S&P 500's top performer. Meanwhile, Moderna led vaccine makers lower as TRUMP administration officials reportedly sought to link COVID-19 vaccines to child deaths.

The broader market showed mixed reactions ahead of the Federal Reserve's upcoming interest rate decision. The S&P 500 edged down marginally, while the Nasdaq climbed 0.4% to set its fifth straight record closing high. The Dow Jones Industrial Average fell 0.6%.

Investors continue to weigh sector-specific developments against macroeconomic uncertainties. The media sector's momentum contrasts sharply with healthcare's decline, reflecting the market's selective risk appetite in a volatile rate environment.