04:44 PM EDT, 07/23/2025 (MT Newswires) -- US benchmark equity indexes closed higher on Wednesday, after President Donald Trump's Japan trade deal featured tariffs lower than previously proposed.

The Nasdaq was up 0.6% to 21,020 while the S&P 500 rose 0.8% to 6,358.91. The Dow Jones Industrial Average gained 1.1% to 45,010.29. Among sectors, healthcare led the gainers while utilities and consumer staples were the only decliners.

US Treasury yields were higher, with the 10-year rate increasing 3.7 basis points to 4.39% and the two-year rate gaining 4.1 basis points to 3.89%.

September West Texas Intermediate crude oil rose 0.2% to $65.44 a barrel on Wednesday.

The trade deal with Japan announced late Tuesday imposes a 15% levy, less than the 25% duty previously proposed. Japanese automobiles are included in the lower tariff rate, while Tokyo agreed to import more US goods such as rice and automobiles.

"The deal, as reported, involves imposing a tariff of 'only' 15 percent on imports from Japan, mainly in return for a promise by the Japanese government to invest $550 billion in the United States," US Economist Paul Krugman said in a Substack post. "It appears that Japan will create a sovereign wealth fund for that purpose, and that Trump will have a say in how it invests."

In economic news, US existing home sales fell to a 3.93 million annual rate in June from 4.04 million in May, missing expectations of 4.00 million, according to data from the National Association of Realtors. Total sales remained unchanged year-over-year.

"High mortgage rates are causing home sales to remain stuck at cyclical lows," said NAR Chief Economist Lawrence Yun. "If the average mortgage rates were to decline to 6%, our scenario analysis suggests an additional 160,000 renters becoming first-time homeowners and elevated sales activity from existing homeowners."

In company news, Lamb Weston ( LW ) shares were up 16%, the top gainer on the S&P 500. The company reported that its fiscal Q4 adjusted earnings and net sales grew stronger than forecast.

GE Vernova ( GEV ) was the second-top gainer on the S&P 500, up 15%. The company's second quarter earnings and total revenue exceeded Street's estimates and it now expects 2025 revenue towards the higher end of $36 billion and $37 billion.

Fiserv ( FI ) shares sank 14%, the worst performer on the S&P. The company agreed to buy a portion of Toronto-Dominion Bank's ( MLWIQXX ) merchant processing business in Canada for an undisclosed amount. Fiserv's ( FI ) adjusted earnings and revenue rose year-over-year and beat consensus.

Gold decreased 1.3% to $3,399.80 per troy ounce, and silver was up 0.1% to $39.59 per troy ounce.