S&P 500, Nasdaq close at records and extend postelection rally as Fed cuts rates
Stocks rose on Thursday, hitting record highs and building on the huge market rally following the decisive victory of president-elect Donald Trump, as traders weighed the latest rate cut from the Federal Reserve.
The S&P 500 gained 0.8%. The Nasdaq Composite advanced 1.5%. The Dow Jones Industrial Average ticked up 74 points, or a little less than 0.2%. The three major averages hit intraday record highs during the session.
The gains built on a surge in stocks Wednesday after Trump’s win, including a 1,500 gain for the Dow. The S&P 500 jumped 2.53% for its best post-election day in history.
The bond market has also been volatile, with Treasury yields falling Thursday after spiking in the previous session.
Those big swings were the backdrop for the Federal Reserve’s interest rate decision and Chair Jerome Powell’s subsequent press conference Thursday afternoon. The central bank’s 0.25 percentage point cut was widely expected, but the move was smaller than September’s half-point cut.
Powell said the Fed was “feeling good” about the state of the economy, and the central bank seems likely to stick to the small moves going forward.
Source: CNBC
