Wall Street Gains On Rate Cut Bets, GE Hits Record Highs: What’s Moving Markets Thursday?
Risk appetite returned to Wall Street on Thursday, as signs of labor market cooling in August cemented expectations that the Federal Reserve will begin cutting interest rates at its Sept. 17 meeting.
The ADP National Employment Report showed just 54,000 jobs were added in August, a steep decline from 106,000 in July and well below the 65,000 median forecast.
With job creation slowing, economists now expect Friday’s official nonfarm payrolls report to show just 75,000 new jobs—nearly flat from July’s already-soft 73,000 and far from the pace typically needed to sustain economic growth.
Rate-cut odds surged in response. Markets are now pricing in a nearly 100% chance the Fed will deliver a 25-basis-point cut this month, according to CME FedWatch Tool data. Odds for a second cut before year-end climbed to 90%. Treasury yields also eased, with the 30-year yield falling to …
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