Wall Street piled into bets the Federal Reserve will cut rates next week, with stocks rising on speculation that policy easing at a time when the economy is not in a recession will keep powering Corporate America.
Following a mild drop in the aftermath of weak jobs figures, the S&P 500 bounced. While upcoming data is projected to show progress on reducing inflation has stalled, traders continued to brace for almost three Fed cuts this year starting in September. Treasuries saw small gains, with the two-year yield remaining at the lowest since 2022. The dollar edged down.
Stocks bounce on Fed Bets.
Source: Bloomberg