The US stock market experienced a significant surge on Wednesday, December 10, 2025, following the Federal Reserve's decision to cut interest rates for the third consecutive time. The Dow Jones Industrial Average saw a 1.31% increase, reaching an intraday high of 48,197.30 points, while the S&P 500 rallied 0.85% to reach 6,900.67 points.
The Dow Jones closed 1.05% higher at 48,057.75 points, while the S&P 500 closed 0.67% higher at 6,886.68 points. The Nasdaq Composite also saw a 0.54% increase, reaching a high of 23,704.08 points, and closed 0.33% higher at 23,654.16 points.
The US Federal Reserve's Federal Open Market Committee (FOMC) lowered the interest rate to a range of 3.50%-3.75%, marking a 25-basis-point rate cut. This decision aims to stabilize the US labor market amid rising unemployment numbers. Fed Chairman Jerome Powell stated that the central bank's goal is to achieve maximum employment and target a 2% inflation level.
The Fed's decision was made in light of elevated inflation levels in the economy. However, Chairman Powell also warned that unemployment rates may hit 4.5% by the end of 2025 due to rising downside risks to employment.
Stay up-to-date with the latest US stock market news and trends. Remember to consult with certified experts before making any investment decisions, as market conditions can change rapidly.
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