S&P 500 Closes at Historic 5,200 Mark After Fed: Markets Wrap
- Short-end bonds rally as Fed reassures market of cuts in 2024
- The central bank’s ‘dot plot’ confirmed three cuts this year
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Wall Street traders sent stocks to fresh all-time highs as the Federal Reserve signaled it’s on track to cut interest rates for the first time since the onset of the pandemic.
In a historic move, the S&P 500 topped 5,200 on speculation that the end of the most-aggressive Fed hiking cycle in a generation will keep fueling corporate profits. Gains in equities were almost broad-based, with areas that have been lagging this year — like small caps — rallying. Short-term Treasuries outperformed, with traders now seeing higher odds of a first Fed move in June.