US EditionStocks Climb After Fed Cuts Rates, Hopes Build for More
The Federal Reserve cut rates by 0.25%, marking the third cut this year to support jobs while major U.S. indexes approach record highs, with expectations for more easing in 2026.
- On Wednesday, the Federal Reserve cut the federal funds rate by a quarter point, lifting the S&P 500 0.7%, the Dow 1%, and Nasdaq 0.3% near record levels.
- Widely expected, the cut followed comments from Fed Chair Jerome Powell, who said rates are close to neutral and the Federal Reserve faces a trade-off between the job market and inflation.
- Market internals showed lower yields, with the two-year Treasury yield falling to 3.54% from 3.61% and the 10-year yield edging to 4.14% from 4.18%, while GE Vernova surged 15.6% and Palantir Technologies rose after winning a U.S. Navy $40 billion program.
- The policy split highlighted an internal dilemma at the Fed as Federal Reserve officials remained divided in Wednesday's vote, with Powell signalling the bank is 'well positioned to wait and see'.
- On Thursday, Asian shares were mixed as Tokyo's Nikkei 225 fell 0.9% to 50,148.82, while oil and currencies moved with U.S. crude at $58.15 and Brent at $61.87; the dollar rose to 156.04 yen, the euro slipped to $1.1687.
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Social Security Cost Of Living Adjustment (COLA) Changes After Fed Cuts Rates Again
Quick Read The 2026 COLA was announced at 2.8% in October 2025. Fed projections suggest a potential 2027 COLA in the 2.3% to 2.6% range if CPI tracks slightly above PCE. Retirees relying on interest income from CDs and savings accounts have seen earnings decline after recent rate cuts. If you’re focused on picking the right stocks and ETFs you may be missing the bigger picture: retirement income. That is exactly what The Definitive Guide to …
Stocks climb after Fed cuts rates, hopes build for more
NEW YORK — The U.S. stock market rose to the edge of its record Wednesday after the Federal Reserve cut its main interest rate to bolster the job market, and hopes strengthened for more cuts to come in 2026.
After the central rate has been lowered, the US banks close in on the plus - but uncertainty remains because of the monetary policy stance. Central bankers seem to disagree as rarely. The DAX is likely to start weaker.
US cuts rates as Australia's economy loses jobs
SBS Finance Editor Ricardo Gonçalves speaks with Darren Thompson from Equity Trustees and Diana Mousina from AMP about the impact lower US interest rates and today's local labour force data is having on the sharemarket and what it means for local rates.
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