Mixed Trends in New York Stock Market Amid Rate Cut Expectations and Tightening Remarks

Mixed Trends Amid Stabilizing Market
Dow Closes Up 0.15% at 37,305.16

Jerome Powell, Chairman of the Federal Reserve

The New York stock market closed mixed amid expectations of interest rate cuts next year and hawkish remarks.

John Williams, President of the New York Federal Reserve Bank, said in an interview with CNBC on the 15th (local time), "Interest rate cuts are not currently a topic of discussion at the Fed," downplaying comments by Fed Chair Jerome Powell about discussing rate cuts. He stated, "As Chair Powell mentioned, we are very focused on the question before us of whether we can achieve a sufficiently restrictive monetary policy to ensure inflation returns to 2%."

When asked about the "interest rate futures market pricing in the possibility of a cut in March," he replied, "I think it is premature even to think about that (cut)." He added, "What we have learned over the past year is that indicators can move, and if inflation progress delays or reverses, we must be prepared to tighten further."

Following these remarks, the market, which had been volatile, narrowed its gains somewhat. On the 15th (local time) at the New York Stock Exchange (NYSE), the Dow Jones Industrial Average closed slightly up by 0.15% (56.81 points) at 37,305.16. The S&P 500 index fell 0.01% (0.36 points) to 4,719.19, while the Nasdaq index rose 0.35% (52.36 points) to close at 14,813.92.

The Dow, which surpassed 37,000 for the first time ever two days ago to reach a new high, showed an upward trend on this day. The Nasdaq also rose for the seventh consecutive trading day. Among major stocks, most showed gains except for Apple. Microsoft (MS) rose 1.31% ($4.80) to close at $370.73, and Alphabet increased 0.50% ($0.66) to $132.60.

Amazon rose 1.73% ($2.55) to $149.97, and Nvidia climbed 1.12% ($5.40) to $488.90. Tesla closed up 0.98% ($2.45) at $253.50. Meanwhile, Apple closed down 0.27% ($0.54) at $197.57.