Stock market today: Wall Street sets another record as traders look ahead to easier rates

economictimes.indiatimes.com:

interest rates beckoning on the horizon.

The S&P 500 rallied 1% to set its 16th all-time high so far this year. It's been on a terrific run and is on track for its 17th winning week in the last 19 after erasing the last of its losses from Monday and Tuesday.

The Dow Jones Industrial Average added 130 points, or 0.3%, and the Nasdaq composite jumped 1.5% to finish just shy of its record.

Federal Reserve Chair Jerome Powell said in testimony on Capitol Hill that the central bank is «not far» from delivering the cuts to interest rates that Wall Street craves so much. He said again that the Fed is just waiting for additional data to confirm inflation is cooling.

It's a key point on Wall Street because cuts to rates would release pressure on the economy and the financial system, while goosing investment prices. After shelving earlier hopes for cuts to begin in March, traders now see June as the likeliest starting point. The Fed's main interest rate is at its highest level since 2001.
After getting criticism for waiting too long before raising interest rates when inflation was accelerating, Powell faced questions from the Senate's banking committee about the possibility that it could be too late in cutting rates. That would cause undue pain because high rates slow the economy.
«We're well aware of that risk, of course,» Powell said.
He said if conditions continue as expected, including a strong job market and cooling inflation, cuts will come later this year. Cutting rates too early could risk a reacceleration of