London Daily

Focus on the big picture.
Sunday, Aug 02, 2026

US stocks rise after Fed minutes show most policy makers are in favor of easing up on rate hikes

US stocks rise after Fed minutes show most policy makers are in favor of easing up on rate hikes

Stocks advanced for a second straight session with signs the Fed may begin cutting down on hefty rate increases as early as December.

US stocks overcame earlier losses to finish higher Wednesday, as minutes from the Federal Reserve's meeting this month indicated policymakers are prepared to cut the size of rate hikes aimed at chopping down inflation.

Wall Street's major indexes landed a second consecutive day of gains. The S&P 500 stretched further into the 4,000 level after closing above that mark on Tuesday for the first time since September. Nine of the index's 11 sectors gained ground, led by the consumer discretionary group.

A "substantial majority of participants judged that a slowing in the pace of increase would likely soon be appropriate," minutes of this month's Fed meeting released Wednesday afternoon said. The central bank has pushed up the fed funds rate by 75 basis points at four straight meetings.

Here's where US indexes stood at the 4:00 p.m. closing bell on Wednesday:

*  S&P 500: 4,027.26, up 0.59%

*  Dow Jones Industrial Average: 34,194.06, up 0.28% (95.96 points)

*  Nasdaq Composite: 11,285.32, up 0.99%

Fed speakers have been telegraphing since the November meeting they are heading toward easing the pace of its aggressive campaign, and a rate increase of 50 basis points may be in store for December, Quincy Krosby, chief global strategist at LPL Financial, wrote in a note.

"It doesn't mean that the Fed reaches its terminal rate in December – rather it could be a lower-for-longer path as the Fed assesses the lagged effect of the cumulative rates on the broader economy. While this doesn't represent the 'pivot' that the market has on its holiday wish list, it does represent an important transition in monetary policy," she said.

Stocks were mixed earlier Wednesday after the Labor Department said weekly jobless claims rose by 17,000 to 240,000. That was more than expected and marked the highest number of claims since August.

Among individual stocks, Deere shares climbed after the heavy equipment maker boosted its 2023 profit outlook to $8 billion to $8.5 billion. Nordstrom shares fell after the upscale retailer cut its 2022 per-share earnings outlook to a range of $2.13 to $2.43. Credit Suisse's US-listed shares fell after the bank under restructuring warned of a fourth-quarter loss of up to 1.5 billion Swiss francs ($1.6 billion).

Equity trading will be closed Thursday for Thanksgiving Day and end early on Friday, at 1 p.m. Eastern.

Here's what else is happening today:

*  Oil prices fell Wednesday following reports the European Union is thinking about capping Russian oil prices at $65-$70 a barrel.

*  An extremely rare signal flashed in the stock market on Tuesday, indicating big gains ahead for equities.

Elon Musk's focus on Twitter's turnaround creates three factors that put Tesla stock at risk, said Wedbush.

*  Warren Buffett's Berkshire Hathaway has slashed its stake in Chinese electric-vehicle make BYD - and has pulled in about $1.2 billion profit on the shares sold.

*  A lawyer for FTX said a substantial amount of assets belonging to the bankrupt crypto exchange were either missing or stolen.

*  Meanwhile, the court hearing FTX's bankruptcy petition was told the company spent around $300 million buying houses for senior executives in the Bahamas.

In commodities, bonds, and crypto:


*  West Texas Intermediate crude fell 2.7% to $78.73 per barrel. Brent crude, the international benchmark, fell 4% to $84.87.

*  Gold picked up 0.7% to $1,752.70 per ounce.

*  The 10-year Treasury yield fell 11 basis points to 3.70%.

*  Bitcoin rose 2% to $16,455.05.

Newsletter

Related Articles

0:00
0:00
Close
Finland Deploys Commercial-Scale Thermal Batteries Using Crushed Rock to Store Renewable Grid Energy
Valued at $109 Million: F-35B Fighter Jet Crashes in Southern California
Sainsbury Agrees to Sell Argos in £120 Million Deal to Private Consortium
High Court Clears Way for Construction of Chinese Embassy at Royal Mint Court
UK Fuel Prices Climb to Multi-Month Highs as Strait of Hormuz Tensions Disrupt Oil Supplies
Severe Summer Drought and Record Heat Put UK Harvests at Risk
Prime Minister Andy Burnham Faces Labour Backbench Opposition Over Potential Support for New North Sea Oil and Gas Drilling
Bank of England Warns Inflation Will Stay Above 3% as Middle East Energy Shock Prolongs Cost-of-Living Pressures
Andy Burnham has Announces Plans to Redistribute Income Tax Revenue to English Mayors
Early-Release Scheme Faces Fresh Scrutiny as Reoffending and Prison Recalls Rise
Police Phone Checks Followed Report on Murder of MI5 Agent Inside Sinn Féin
Archbishop of Canterbury Reaffirms £100 Million Reparative Justice Fund During Ghana Visit
Charities Allege French Police Used Tear Gas Against Channel Migrants
Norwegian Teenager Convicted Over Iran-Linked Murder Plot in Britain
Christian Organisations File Charity Complaints Against Amnesty International UK
Ofgem Tightens Grid Connection Rules for New Data Centres
FTSE 100 Reaches Record High Despite Global Technology Sell-Off
Millions of UK Households Urged to Check Eligibility for Winter Energy Discount
Labour Restores Parliamentary Whips to Diane Abbott and Joani Reid
UK Supreme Court to Hear Challenge Over Palestine Action Ban
UK Commits More Than £8.4 Billion to Dreadnought Nuclear Submarine Programme
England Declares Severe Drought as Wildfire Burns Near Sizewell Nuclear Site
Bank of England Holds Interest Rates at 3.75% as Middle East Tensions Fuel Inflation Risks
Drought Status Extended Across All of Wales as Heat and Dry Weather Deepen Environmental Strain
Record-Low Danube Exposes Probable Mammoth Remains in Bulgaria
UK Business Confidence Climbs to Four-Month High
Greater Manchester Gains Expanded Powers Under Regional Funding Reforms
UK Supreme Court to Hear Appeal Over Palestine Action Terror Ban
Shell's Quarterly Profit Doubles to Nearly $10 Billion on Higher Energy Prices
UK Government Removes VAT From Household Electricity Bills
Exceptional Drought Grips Half of England as Wildfire Threatens Sizewell
Bank of England Holds Interest Rates at 3.75% as Inflation Risks Persist
US Says It Has Carried Out Heavy Strikes on Iran After Attempted Attacks on Its Forces
The chief executive of the popular gaming company laid off many employees and his pay rose to 38 million dollars
UK Employment Holds Steady as Wage Growth Remains Moderate
England to Introduce Artificial Intelligence into Secondary School Curriculum
Wales Launches £1.2 Billion Industrial Regeneration Programme
High Court Upholds UK Digital Surveillance Framework
Northern Ireland Reaches Budget Agreement on Infrastructure and Public Sector Pay
Home Office Expands Digital Border Checks Nationwide
UK Approves Major North Sea Wind and Carbon Capture Project
The World's Most Terrifying Smartphone: Recording, Documenting, and Reporting to the Regime
Scotland Approves Major Renewable Energy Expansion
UK and United States Sign AI and Semiconductor Cooperation Pact
UK Treasury Tightens Fiscal Controls After Gilt Market Volatility
Bank of England Holds Interest Rates at 4.5%
UK Unveils £10 Billion NHS Funding Overhaul and Workforce Reform
The AI User Nightmare: Private Claude Conversations Leaked to the Internet
UK: Former Football Association Leaders Call for World Cup Boycott Over FIFA Privatization Plan
Forbidden Love: China severs millions from their virtual partners
×