Wall Street climbs to the cusp of records, closes its best week of the year
On September 13, 2024, U. S. stocks closed out their best week of the year, highlighted by a 0. 5% rise in the S&P 500, which now sits just 0. 7% below its record high from July.
The Dow Jones Industrial Average also saw a significant increase, adding 297 points, and was within 30 points of its previous record. This surge was largely driven by strong performances from major technology firms, such as Microsoft and Uber Technologies, the latter of which announced plans to expand its autonomous ride-hailing services. Easing Treasury yields ahead of the Federal Reserve's upcoming meeting further bolstered market confidence. Analysts expect the Fed to implement its first interest rate cut in over four years next week, a move aimed at sustaining economic growth while addressing the slowing job market. However, the Fed faces the challenge of balancing rate cuts against potential inflationary pressures.
Recent reports indicated that some underlying inflationary pressures could persist, which has led traders to moderate their expectations for the size of the upcoming rate cut. Overall, the market's optimism reflects a renewed belief in economic recovery and growth.