Wall Street Rises on Rate Cut
This article is from the archive of The New York Sun before the launch of its new website in 2022. The Sun has neither altered nor updated such articles but will seek to correct any errors, mis-categorizations or other problems introduced during transfer.
Wall Street surged higher today after the Federal Reserve cut interest rates half a percentage point, as expected.
The stock market had been banking on another rate reduction after the central bank’s steep three-quarter-point cut in the target fed funds rate a week ago. The only uncertainty in investors’ minds was whether the Fed would lower the rate by a sizable half point or a more cautious quarter point.
In the minutes just after the Fed decision, the Dow Jones industrial average rose 76.33, or 0.61%, to 12,556.63, after rising 273 over Monday and yesterday.
Broader stock indicators also rose. The Standard & Poor’s 500 index rose 7.45, or 0.55%, to 1,369.75, while the Nasdaq composite index rose 10.50, or 0.45%, to 2,368.56.
