Summary
Wall Street saw a significant increase as investors anticipated potential interest rate cuts by the Federal Reserve, following remarks by its head, Jerome Powell. The possibility of lower rates, which could stimulate the economy, boosted various stock indexes and particular sectors.
Key Facts
- The S&P 500 index increased by 1.6%, nearing its all-time high.
- The Dow Jones Industrial Average rose by 916 points, a 2.1% increase.
- The Nasdaq composite index grew by 2%.
- Federal Reserve Chairman Jerome Powell hinted at possible rate cuts but did not specify timing.
- Traders anticipate a high chance of a rate cut at the Fed's next meeting.
- The yield on the 10-year Treasury dropped from 4.33% to 4.26%.
- Stocks in the Russell 2000 index and homebuilder shares saw significant gains.
- Nvidia's shares rose after news of potential new computer chip discussions with the U.S. government for China.
