Nasdaq Futures Jump 2% as Big Fed Cut Spurs Rally – Europe Market Wrap

Global stock markets rebounded following the Federal Reserve’s 50 basis point interest rate reduction, which rekindled investor enthusiasm.

US equities futures surged, with the underlying benchmark poised to set a new high in the cash market thanks to a 1.6% increase in S&P 500 contracts. Because of lower borrowing costs and wagers on strong American growth, Nasdaq 100 contracts surged 2.1%. The Stoxx 600 index in Europe increased by 1.4%.

A dollar index saw a 0.4% decline, bringing it nearer to its lows from January. Small increases were seen in Treasuries as investors shifted back to the status of the labour market and the US unemployment claims data that was coming up. Bitcoin surpassed a three-week peak.

The pound reached its highest level vs the dollar since March 2022, and UK stocks pared their gains following the Bank of England’s announcement on Thursday that it would not be easing policy quickly.