Wall Street’s stock markets opened higher on Wednesday.
Market sentiment has been raised by expectations that the US central bank Fed will continue to cut interest rates, as a result of which the stock markets in Europe and Asia have also mostly been on the rise.
The broad S&P 500 index was up 0.5 percent and the technology-focused Nasdaq was up 0.6 percent. The Dow Jones index was also up by 0.6 percent.
A chip company Nvidia’s the share was up 1.8 percent. On Tuesday, the company’s stock was down more than six percent after the stock market opened, while the technology company Meta said he was negotiating Google to artificial intelligence circuits. The company’s share finally closed about 2.6 percent below the previous day’s closing price.
Google’s parent company Alphabetin the course was down 1.1 percent on Wednesday. Meta’s share was down 0.4 percent.
Most of the prices of the most traded companies were clearly on the rise. The US stock market is closed on Thursday due to a local holiday.
An interest rate cut is expected from the Fed
The market is now being boosted by expectations that the US central bank Fed will lower the key interest rate by 0.25 percentage points at the December meeting.
Investors have also been thinking hard recently about who will be the next Fed chairman.
President Donald Trump’s allies and advisers believe, according to the news agency Bloomberg, that the head of the White House’s National Economic Council Kevin Hassett is the strongest candidate. Hassett is seen to be in line with Trump’s views favoring lower interest rates.
Currently serves as chairman Jerome Powellwhich has drifted into disagreements with Trump.
On Wednesday, it was also announced that the number of new claims for unemployment benefits in the United States was 216,000, which was less than what had been anticipated.