The expectations of a Federal Reserve rate cut positively influenced markets today by boosting investor sentiment and driving rallies in key stock indices.
In the US, the anticipation of a 25 basis point rate cut at the December Fed meeting contributed to gains in major indices, with the S&P 500 rising 1.55% and the Nasdaq Composite jumping 2.69% as technology stocks led the charge. Futures markets showed a strong 79% probability of this cut, fueling buying interest.home+1
The rate cut outlook also supported risk appetite in global markets, while bonds reflected easing fears of prolonged tightening. This optimism in the US influenced other regions, though some Asian and European markets remained cautious amid other geopolitical and economic concerns.reuters+1
Overall, the Fed rate cut expectations helped moderate volatility, lifted equity valuations, particularly in growth sectors, and strengthened the dollar's positioning as investors priced in a softer monetary policy stance ahead.finance.yahoo+1
- https://www.home.saxo/en-sg/content/articles/macro/asia-market-quick-take--november-25-2025-25112025
- https://economictimes.com/news/international/us/sp-500-nasdaq-and-dow-futures-see-slight-change-after-wall-street-ended-the-day-on-the-higher-side-powered-by-alphabet-and-other-ai-stocks-heres-how-key-indices-performed/amp_articleshow/125552988.cms
- https://www.reuters.com/world/china/global-markets-global-markets-2025-11-25/
- https://finance.yahoo.com/news/us-stock-market-today-p-100959650.html