S&P 500, Nasdaq close higher, extending gains for third day as investors await next week’s rate decision
Stocks were relatively unchanged on Thursday as investors prepared for next week’s interest rate decision from the Federal Reserve.
The S&P 500 traded around the flatline, as did the Nasdaq Composite. The Dow Jones Industrial Average was also flat.
Treasury yields traded up, while bitcoin resumed selling, pulling 1%. The cryptocurrency dipped below $85,000 on Monday, hitting its lowest level since March. But, the token rebounded early Tuesday and has continued to trade above the $90,000 level through the week, offering a glimmer of hope to downtrodden crypto investors.
Investors focused on a report from job placement firm Challenger, Gray & Christmas showing announced job cuts in November from U.S. employers moved further ahead of 1 million for the year as corporate restructuring, artificial intelligence and tariffs helped pare job rolls. On Wednesday, numbers from ADP revealed a surprising slump in private payrolls.
Mounting signs that the labor market is softening has led Wall Street to be convinced the Fed will cut rates a quarter percentage point at its Dec. 10 meeting, the last of the year. Markets are pricing in an 87% chance of a cut next Wednesday, far higher than just a couple weeks ago, according to the CME FedWatch tool.
Source: CNBC.com
