From Yahoo Finance · Grace O'Donnell · · 3m
Stocks rebound as Fed rate hike eases market fears
US stocks rally after Fed rate hike and oil drop.
In brief
US stocks rally after Fed rate hike and oil drop. US stocks rebounded 0.6% for Dow, 1.1% for S&P 500 and 1.7% for Nasdaq as bond yields eased and oil prices fell after Fed's first rate hike in three years. Originally reported by Yahoo Finance.
Stocks rebound
US stocks rebounded on Thursday as oil prices edged lower and a Fed rate hike offered some relief that the central bank was working to contain inflation.
Dow and S&P 500 rise
The Dow Jones Industrial Average rose 0.6%, while the S&P 500 climbed 1.1%.
Nasdaq jumps
The tech-heavy Nasdaq Composite jumped 1.7%, rebounding from a post-Fed-hike slump on Wednesday.
Fed rate hike impact
The Federal Reserve raised interest rates by 25 basis points for the first time in three years and projected one more rate hike this year.
Trump reacts to Fed
President Trump called for lower interest rates and said he had spoken with Fed Chairman Kevin Warsh ahead of the FOMC meeting.
“You might as well vote with the board because it's not going to matter”
Oil prices drop
Brent crude changed hands at $104 per barrel as US Energy Secretary Chris Wright said Saudi Arabia's East-West pipeline would be restored soon.
Bank of England holds rates
The Bank of England voted to hold its benchmark bank lending rate steady at 3.75% on Thursday.
AI debate intensifies
70% of respondents said AI development is going too fast or needs to be rolled back, but AI was the least salient issue in a recent survey.
Salesforce CEO on AI
Salesforce CEO Marc Benioff warned that AI should not become social media 2.0, citing harm to children and countries from social media narratives.
“We cannot let AI be social media 2.0”
Coinbase CEO on regulation
Coinbase CEO Brian Armstrong criticized the failed Senate vote on the Clarity Act, saying it was an abdication of responsibility for digital assets regulation.
“This bill could have had the ability to affect America for generations to come”
Jamie Dimon on AI oversight
Jamie Dimon supported a 'light touch' federal oversight for AI to avoid state law complications, but warned inflation might not be over.
Micron stock rises
Micron shares rose over 5% after Intel CEO Lip-Bu Tan said memory chip demand would continue to rise and prices would increase.
Generac signs Amazon deal
Generac signed a deal to provide Amazon with backup generators worth up to $8 billion for data centers.
Home contract signings drop
Home contract signings improved slightly from July to August but slumped 4.7% from last year amid higher mortgage rates.
Lucid signs robotaxi deal
Lucid signed a partnership with Bolt to deploy at least 25,000 autonomous vehicles in Europe.
Oil prices near $100
Brent crude fell to $104 per barrel as diesel prices hit a record high of $6.39 per gallon in the US.
The short version
US stocks rebounded 0.6% for Dow, 1.1% for S&P 500 and 1.7% for Nasdaq as bond yields eased and oil prices fell after Fed's first rate hike in three years.
