Interactive Brokers vs. DEGIRO vs. Trade Republic: 2026 ETF Investing Showdown

Stocks closed higher on Friday, August 1, 2026, as Wall Street responded positively to the Federal Reserve’s signal that it will keep interest rates unchanged for now. The S&P 500, Nasdaq, and Dow all finished in the green, capping a volatile week spurred by central bank commentary and shifting growth expectations. ## Markets Snap Back After Fed Holds Rates The **S&P 500** climbed **1.2%** to finish at **5,150**, erasing losses from earlier in the week. The **Nasdaq Composite** outperformed, rising **1.7%** to **17,320**, while the **Dow Jones Industrial Average** added **0.8%**, closing at **39,800**. Treasury yields steadied after dipping on the Fed’s decision. The **10-year Treasury yield** ended the session at **3.82%**, slightly lower from Thursday’s close, as investors interpreted the Fed’s guidance as a sign that further rate hikes are off the table for now. ## Fed Stays Put, Investors Breathe Easier The Federal Reserve left its benchmark interest rate unchanged at **5.25%**, citing progress on inflation but cautioning that it remains above the central bank’s 2% target. Chair Jerome Powell emphasized the need for “patience,” signaling that the Fed will wait for more evidence before adjusting policy. Markets had braced for a more hawkish tone amid sticky inflation data in recent months. Instead, Powell’s remarks reassured investors that the central bank is confident in the current trajectory, sparking a broad-based rally across risk assets. ## Key Movers: Tech and Financials Lead Gains Technology stocks led the charge, with **Apple (AAPL)** jumping **2.3%** after strong earnings and upbeat guidance for the next quarter. **Nvidia (NVDA)** and **Microsoft (MSFT)** also posted gains of over **2%** each, buoyed by robust demand for AI and cloud computing services. Financials joined the rally as well. **JPMorgan Chase (JPM)** and **Bank of America (BAC)** each rose more than **1%**, reflecting optimism that stable rates will support lending margins and credit quality. Meanwhile, energy stocks lagged as **WTI crude oil** slipped **0.7%** to **$78.40** a barrel. The move followed reports of rising global inventories, tempering recent gains in the sector. Gold held steady at **$2,040** per ounce, with investors showing little appetite for safe havens after the Fed’s steady tone. ## Currency Markets Hold Steady The **U.S. Dollar Index (DXY)** was little changed at **103.7**, as currency traders parsed the Fed’s messaging. The **euro** edged up slightly, with **EUR/USD** finishing at **1.103**, reflecting a modest rebound in European risk sentiment. ## Context: Central Banks and Investor Positioning The Fed’s pause aligns with recent moves from other major central banks, which have also signaled a more cautious approach as global growth slows. Investors are now recalibrating their expectations for monetary policy in the second half of 2026. For those considering long-term strategies in this environment, automated investing platforms remain popular among retail investors. For a closer look at setting up recurring investments, see our guide on automatic monthly investing with Trade Republic or DEGIRO. ## What to Watch Looking ahead, all eyes will be on next week’s U.S. jobs report, which could provide further clues about the labor market’s resilience and any potential shifts in Fed policy. Earnings season continues with key reports from tech and consumer giants, while Fed officials are scheduled to speak at several events throughout the week. Investors will also monitor geopolitical headlines and developments in global energy markets. For those just getting started, our step-by-step guide to opening your first European brokerage account can help you navigate the process as market conditions evolve. Stay tuned as Finance Daily Shot continues to track the data and deliver timely updates on the trends shaping your portfolio.