Stock Market Today: Dow closes higher as rally mode continues into December
Investing.com — The Dow closed higher Friday, as Treasury yields were pressured by growing expectations for sooner rate cuts even as Federal Reserve Chairman Jerome Powell warned against «premature» bets on rate cuts.
By 16:00 ET (21:00 GMT), the Dow Jones Industrial Average rose 294 points, or 0.8%, while the S&P 500 gained 0.6%, and the NASDAQ Composite added 0.6%. The S&P 500 ended the day at 4,594.63, a closing high for the year, following a jump in November.
The gains followed stellar November performance for the major indexes, with the S&P 500 and NASDAQ Composite registered their biggest monthly percentage increases since July 2022, while the Dow Jones Industrial Average soared to its best month since October 2022.
Treasury yields fells sharply, shrugging off Powell's warning that it «would be premature to conclude with confidence that we have achieved a sufficiently restrictive stance, or to speculate on when policy might ease.»
The odds of a March cut jumped to 57.9% from 21.6% the prior week, according to Investing.com's Fed Rate Monitor Tool.
The yield on the 2-year Treasury, which is more sensitive to Fed policy, slumped 15 basis to 4.561%, its lowest level since June, while the 10-year Treasury also fell sharply to 4.217%.
In corporate news,Tesla (NASDAQ:TSLA) cut some losses to end the day around 0.5% lower after the electric-vehicle manufacturer revealed a starting price of nearly $61,000 for its highly-anticipated Cybertruck, about 56% higher than the starting price announced in 2019.
«This pricing is at the high end of what we expected, and supports our view that conversion rate on the 1M + reservations will be low, likely under 20%,» RBC Capital Markets said in a note.
The base model Cybertruck is
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