US Stock Futures Rise on Higher Rate Cut Expectations by the Fed - Forex News by FX Leaders

US Stock Futures Rise on Higher Rate Cut Expectations by the Fed

Posted Friday, July 19, 2019 by
Arslan Butt • 1 min read

An increased possibility of aggressive rate cuts by the Fed have caused US stock futures to surge higher early on Friday morning. At the time of writing, DOW is already trading higher than its previous closing at a little above 27222.

Earnings reports were keeping stock markets subdued for most of Thursday, until the New York Fed President John Williams’ speech which talked about the importance of preemptive action by the central bank to tackle weak inflation amid low interest rates.

Even though a spokesman for the NY Fed offered clarification that Williams’ remarks were not about the upcoming Fed meeting in July, the sentiment remained optimistic on Wall Street that Fed would resort to bigger rate cuts, thus pushing investors away from the dollar and towards stocks.

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About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
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