Stock Market Update
04-Oct-24 11:25 ET
Rethinking rate cuts before the end of the year
Dow -13.59
at 41998.00,
Nasdaq +82.81
at 18001.29,
S&P +7.23
at 5707.17
[BRIEFING.COM] The three major indices moved slightly higher in recent trading with no specific catalyst before the Dow Jones Industrial Average (-0.1%) slid below its prior close.
Market participants have repriced rate cut expectations in response to the strong labor market data. There is now a 2.2% probability of a 50 basis points rate cut at the November FOMC meeting, down from 32.1% yesterday and 53.3% one week ago, according to the CME FedWatch Tool.
The recalibration follows strong hiring in September, a drop in unemployment, and an increase in average hourly earnings.
