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

An increased possibility of aggressive rate cuts by the Fed have caused US stock futures to surge higher early on Friday morning.

Arslan Butt•Friday, July 19, 2019•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 See More

Arslan Butt

Index & Commodity Analyst

Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics. His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker. His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.