Wall Street Rallies to Record High as Fed Signals Possible Interest Rate Cuts

Wall Street Rallies to Record High as Fed Signals Possible Interest Rate Cuts

Business

Wall Street rallied to a record high on Wednesday after the Federal Reserve suggested that interest rate cuts may be on the horizon for next year. The Dow Jones Industrial Average surged over 500 points, surpassing 37,000 and setting a new peak. The S&P 500 and Nasdaq composite also gained, reflecting a positive sentiment towards lower interest rates. The prospect of rate cuts benefits investments seen as expensive, lower quality, or those with longer-term growth potential. Apple was a major driver in the S&P 500’s rise, and tech stocks have been key contributors to the index’s rally this year.

Thanksgiving Dinner Prices: Up from Pre-Pandemic, but Down from Last Year

Thanksgiving Dinner Prices: Up from Pre-Pandemic, but Down from Last Year

Business

Thanksgiving dinner prices have dipped by 4.5% compared to last year, offering a bit of relief to inflation-weary Americans, according to the AFBF. However, prices are still 25% higher than pre-pandemic levels. The survey found that a 16-pound frozen whole turkey accounts for 45% of the total cost of the meal, with the average price at $27.35. The Federal Reserve’s efforts to curb inflation have played a role in the decrease, and long-term trends suggest that food prices will continue to decline.

UBS advises investors to focus on bonds despite market struggles

UBS advises investors to focus on bonds despite market struggles

Business

UBS advises investors to focus on bonds rather than stocks despite the recent struggles in the fixed-income market. The Swiss bank predicts that the 10-year US Treasury yield will decrease to 3.5% by the first half of 2024, potentially yielding returns of around 13% for bondholders. UBS believes that bonds are an effective hedge for portfolios as US growth slows and the Federal Reserve finishes its tightening campaign. However, UBS remains cautious on global stocks due to uncertainty about monetary policy.