12:57 PM EDT, 05/02/2024 (MT Newswires) -- US equity indexes advanced Thursday as investors took solace in signals from the Federal Reserve that the next move in interest rates will unlikely be an increase.

The S&P 500 rose 0.4% to 5,036.5, with the Nasdaq Composite up 0.8% to 15,723.4 and the Dow Jones Industrial Average 0.4% higher at 38,073.5 after midday Thursday. Technology and consumer discretionary led the gainers, while the materials sector was the steepest decliner intraday.

On Wednesday, the Federal Open Market Committee left interest rates unchanged in the 5.25% to 5.5% range for the sixth consecutive time, while handing a victory to bulls looking for relief from its tight monetary policy.

"The main flashes from the Fed last night was that while the FOMC made several hawkish tweaks, [Chair Jerome] Powell signaled that rate hikes remained unlikely and the Fed announced a slightly-larger-than-expected slowing of [quantitative tightening]," Jim Reid, the head of global fundamental credit strategy at Deutsche Bank, said in a note. "It's hard to say it was a dovish meeting but given the recent inflation prints it could have been a lot more hawkish."

In economic news Thursday, nonfarm productivity rose 0.3% in Q1 after a 3.5% gain in Q4, data released by the Bureau of Labor Statistics showed. A Bloomberg survey expected a 0.5% gain. Unit labor costs jumped by 4.7% after a flat reading in Q4, above expectations for a 4% increase. The slowdown in productivity growth and an acceleration in compensation growth accounted for the acceleration in unit labor cost growth.

The US 10-year Treasury yield increased less than a basis point to 4.6%, while the two-year rate declined 3.9 basis points to 4.9%.

In company news, C.H. Robinson Worldwide ( CHRW ) reported Q1 adjusted earnings and revenue that beat market expectations. Shares soared 15% intraday, the top performer on the S&P 500.

Etsy ( ETSY ) slumped 16% intraday, the worst performer on the S&P 500, a day after the company reported lower Q1 net income per diluted share from a year earlier.

DoorDash's ( DASH ) shares plunged 13% intraday, the steepest declining stock on the Nasdaq, after the food delivery firm reported a wider-than-expected loss in Q1.

The top gainer on the Nasdaq was Qualcomm ( QCOM ) with shares up 10% intraday, a day after the chipmaker's fiscal Q2 results grew more than expected amid record automotive revenue.

West Texas Intermediate crude oil slid 0.5% to $78.63 a barrel.