Home Trending Videos Photos

Wall Street rises sharply, Fed rate hikes halted, US market gains

The fall in the 10-year Treasury yield has raised hopes that the US Federal Reserve may begin to ease its fight against inflation

On Tuesday, the US markets closed with good gains. Weak US economic data indicates that the US Fed’s aggressive monetary policy is now showing its effect.

Along with this, a fall in the benchmark Treasury yield also saw the US market rally further further. In yesterday’s trade, the all-important US stock index saw a rise for the third consecutive trading session.

global sp500

The market got maximum support from leading megacap stocks. The S&P 500 has recovered nearly 8% from its October 12 lows.

Bill Merz, head of capital market research at Minneapolis-based US Bank Wealth Management, says that the discussion has started that now there are signs of a brake on the Fed rate hike.

He also said that it will take some more time to be clear whether inflation, which has reached decades high levels in America, is coming towards the Fed’s target level or not.

Merz added that “we are seeing some relief on the dollar front. In addition, long-term bond yields have moderated slightly. These factors are supporting the market’s rally”.

Microsoft and Alphabet, on the other hand, have reported weaker-than-expected quarterly results. Due to which their shares have fallen by about 7%. As a result, the S&P 500 Emini futures have slipped nearly 1%. Due to this, traders are expecting that the stock market can open with a fall on Wednesday.

The fall in the 10-year Treasury yield has raised hopes that the US Federal Reserve may begin to ease its fight against inflation. In yesterday’s trade, the Dow had closed at 31,836.74 with a gain of 337.12 points, or 1.07%.

At the same time, the S&P 500 index closed at 3859.11 with a gain of 61.77 points, or 1.63%. Whereas Nasdaq closed at the level of 11199.12 with a gain of 246.50 points or 2.25%.

Share your love