Live look at Wall Street as of around 3:00 p.m. ET. Figures and market moves are intraday and may change by the closing bell.
Wall Street Climbs After Fed Cut, With Stocks Hovering Near Record Highs
U.S. stocks are trading higher this afternoon after the Federal Reserve delivered a widely expected quarter‑point interest rate cut and signaled it may now pause its easing campaign.
Around 2:20–2:35 p.m. ET, the Dow Jones Industrial Average was up roughly 0.6%–0.8%, trading near 47,800–47,900. The S&P 500 gained about 0.3%–0.4% to around 6,859, while the Nasdaq Composite was roughly flat, oscillating between a small loss and a small gain near 23,560. [1]
The S&P 500 is edging closer to its all‑time high set in October, a sign that investors remain willing to lean into risk despite lingering inflation and policy uncertainty. [2]
Earlier in the day, trading had been subdued as investors waited for the Fed decision, with major indexes moving in tight ranges. [3] That caution flipped to a modest relief rally once the central bank delivered exactly what markets had priced in.
Fed Delivers a “Hawkish Cut” and Signals a Pause
As expected, the Federal Reserve cut its benchmark federal funds rate by 25 basis points, bringing the target range down to 3.50%–3.75%. It’s the third straight rate cut since September and amounts to 75 basis points of easing over that period and 175 basis points since last September, according to Fed Chair Jerome Powell. [4]
But this was far from a unanimous move. Three policymakers dissented:
- Two regional Fed presidents argued for no cut,
- One Fed governor favored a larger, half‑point reduction. [5]
New Fed projections (“dot plot”) show:
- Just one additional quarter‑point cut in 2026, the same as in September,
- 2026 GDP growth upgraded to about 2.3%,
- Unemployment seen holding near 4.4%,
- Inflation (Fed’s preferred measure) drifting down toward around 2.4% next year, still above the 2% goal. [6]
Taken together, strategists describe the move as a “hawkish cut”: borrowing costs are coming down, but the Fed is clearly signaling that the bar for further easing is now higher. [7]
Complicating the Fed’s job, officials are working with patchy economic data after a 43‑day government shutdown forced delays and cancellations of some key reports, including the October inflation release. [8]
Powell’s Message: Policy “Well Positioned” and Not on a Pre‑Set Course
At his afternoon press conference, Fed Chair Jerome Powell emphasized that interest‑rate policy is now near a neutralsetting and firmly data‑dependent.
He noted that, after this year’s cuts, the fed funds rate now sits “within a broad range of estimates of its neutral value” and stressed that “monetary policy is not on a preset course”, with decisions to be made meeting by meeting. [9]
For equity markets, that combination—more easing already delivered, but no promise of additional cuts—helps explain why the reaction has been positive but not euphoric. As one strategist told Reuters, when the Fed is cutting while growth still looks solid and recession risk appears contained, that’s typically a supportive backdrop for stocks. [10]
Where the Major Indexes Stand Right Now
Based on intraday snapshots shortly after the Fed announcement, here’s how the US stock market today looks:
- Dow Jones Industrial Average (DJIA)
- S&P 500 Index
- Up about 0.27% at 6,858.83 in Reuters’ mid‑afternoon snapshot, moving roughly 0.3%–0.4% higher and nearing its record high. [13]
- Nasdaq Composite
- Slight laggard on the day, down about 0.06% at 23,562.29 around 2:22 p.m. ET, reflecting pressure in big tech stocks. [14]
By contrast, Tuesday’s session (Dec. 9) saw more cautious trading ahead of the Fed meeting, with the Dow down 0.38%, the S&P 500 off 0.09%, and the Nasdaq up 0.13%, according to Reuters. [15]
Sector & Stock Movers: GE Vernova Soars, Tech Mixed, Silver Shines
Beneath the surface, there’s plenty of action driving US stocks today:
Big individual winners and losers
- GE Vernova (GEV)
- Shares are surging around 15% after the energy and grid‑technology company raised its medium‑term revenue outlook, doubled its dividend, and expanded its share buyback program, reinforcing confidence in demand for its infrastructure and AI‑related offerings. [16]
- Palantir Technologies (PLTR)
- The data‑analytics and AI specialist is up roughly 4% after announcing that the U.S. Navy will use its AI technology in a program worth about $448 million, bolstering its government‑contracts pipeline. [17]
- GameStop (GME)
- Shares are down in the mid‑single‑digits (around 4–5%) after the company reported weaker revenue than expected, even though profit beat forecasts. [18]
- Intel (INTC)
- The chipmaker is among today’s notable losers, with the stock down roughly 2.5% earlier in the session. Investors are digesting reports of lawsuits alleging that chips from Intel and others ended up in Russian‑made weapons, as well as news that Intel is moving forward with an acquisition of AI‑chip startup SambaNova Systems. [19]
On a sector level, industrials are among the strongest performers, while technology and communication services are lagging, according to intraday sector data cited by Reuters. [20]
Silver breaks out to record territory
One of the most eye‑catching moves of the day is in silver. Futures prices broke above $60 an ounce for the first time in 2025, extending a record‑setting rally as investors sought out precious metals as potential hedges against policy uncertainty and inflation. [21]
Analysts note that sustained strength in silver and other metals can signal a shift in investor preference away from pricey growth stocks and toward tangible assets and traditional hedges when monetary policy is in flux. [22]
Bonds, Yields and Rate Expectations
In the bond market, yields are slipping after the Fed decision, reinforcing the idea that policy is now on hold rather than on an aggressive cutting path:
- The 10‑year Treasury yield has edged down to around 4.16% from about 4.18% late Tuesday.
- The 2‑year yield, which reacts more to Fed expectations, has fallen to roughly 3.56% from 3.61%. [23]
Futures markets now imply roughly a three‑in‑four chance that the Fed will leave rates unchanged at its January meeting, versus earlier expectations for another quick cut. [24]
Bloomberg notes that U.S. stocks and bonds both gained as traders digested the third consecutive cut, with the S&P 500 rising about 0.3% and major equity indexes recovering from a pre‑meeting stall. [25]
Economic Backdrop: Wage Costs Up, Key Inflation Data Still Missing
Today’s trading is unfolding against an unusual economic backdrop shaped by both new data and recent gaps:
- The Employment Cost Index (ECI) for the third quarter, released this morning by the Bureau of Labor Statistics, showed wages and salaries rising 0.8% and benefit costs also up 0.8% on the quarter, a pace consistent with gradually cooling but still firm labor‑cost growth. [26]
- Due to the autumn federal government shutdown, the October CPI report was canceled, and the November CPI release has been pushed to December 18. [27]
Recent weekly jobless claims data from early December showed new filings falling to their lowest level in more than three years, reinforcing the narrative of a labor market that is slowing, but not collapsing. [28]
The upshot: Fed officials are flying partly blind on inflation, relying more heavily on private indicators and internal surveys, which helps explain the split views inside the FOMC and the central bank’s cautious signaling on future cuts. [29]
What This Rate Cut Means for Households and Investors
For consumers, today’s move translates into gradual, not dramatic, relief:
- Credit cards & personal loans: Average credit‑card APRs, while still high—around 24% last year, now just under 24%—have edged down, and experts estimate the 2025 series of cuts could save borrowers billions of dollars in interest over the next year if they prioritize paying down balances. [30]
- Mortgages: Thirty‑year mortgage rates around 6.3% won’t fall in lockstep with the Fed, since they track Treasury yields, but lower policy rates and easing yields could open up refinancing opportunities in 2026 if rates dip below 6%. [31]
- Savers: Lower short‑term rates continue to pressure savings yields, especially on traditional bank accounts, while competitive high‑yield savings and CDs remain more attractive for idle cash. [32]
For the US stock market, several strategists quoted by Reuters and Bloomberg emphasize that the rate cut itself was already priced into equities, so forward guidance and incoming data—especially the delayed CPI report and 2026 projections—are likely to drive the next leg of trading. [33]
Outlook: Can the Rally Survive a “Hawkish” Fed?
Heading into year‑end, market commentary and forecasts published over the past few days highlight a few key themes:
- Path of least resistance still higher—if growth holds up. Strategists at firms such as Edward Jones argue that history tends to favor equities when the Fed is cutting rates while the economy avoids recession, particularly for cyclical sectors and quality large caps. [34]
- Valuation risk and volatility around Fed days. Research pieces on December Fed meetings note that stocks often get choppy around the announcement and press conference, especially when valuations are stretched and the rate path is uncertain—conditions that clearly apply in 2025. [35]
- “Santa Claus rally” vs. policy reality. Some market blogs and broker notes have framed today’s meeting as a key test for any year‑end or “Santa Claus” rally in U.S. stocks. A more hawkish Fed, or upside surprises in the delayed inflation data, could easily blunt seasonal optimism. [36]
- Sector rotation still in play. With silver and some commodities breaking out, and industrials leading while mega‑cap tech trades sideways, several strategists see scope for rotation into value, cyclicals and income namesif the Fed indeed pauses and growth stays moderate. [37]
Long‑term, many forecasters still expect at least one more rate cut in 2026 and no near‑term recession, which underpins constructive multi‑year return expectations for diversified stock portfolios—but with the usual caveat that returns are unlikely to be smooth. [38]
Key Things for Traders and Investors to Watch Next
Over the coming days and weeks, the US stock market today will likely key off a short list of catalysts:
- Powell’s Q&A and follow‑up speeches – Any hint that the Fed is leaning toward either renewed cuts or a quicker pause could shift rate expectations again. [39]
- Delayed November CPI and Real Earnings (Dec. 18) – With inflation data pushed back due to the shutdown, this release will be especially scrutinized as the first clean read on price pressures in months. [40]
- Upcoming earnings from Oracle, Broadcom, Costco and Lululemon – These reports will offer fresh insight into AI spending, cloud demand and consumer strength heading into 2026. [41]
- Credit and labor indicators – Weekly jobless claims, JOLTS data and credit‑market spreads will help investors gauge whether the Fed’s caution is warranted. [42]
For now, the message from today’s session is clear: Wall Street still likes lower rates, but with the Fed openly divided and data incomplete, the next big move for U.S. stocks will hinge on whether the economy can stay in the sweet spot of slowing inflation and steady growth.
This article is for informational purposes only and does not constitute investment advice. Markets move quickly; prices and index levels cited here reflect conditions around 3:00 p.m. Eastern on December 10, 2025 and may change by the close.
References
1. www.reuters.com, 2. www.nhregister.com, 3. m.economictimes.com, 4. www.reuters.com, 5. www.reuters.com, 6. www.reuters.com, 7. www.reuters.com, 8. www.reuters.com, 9. www.reuters.com, 10. www.reuters.com, 11. www.reuters.com, 12. www.nhregister.com, 13. www.reuters.com, 14. www.reuters.com, 15. www.reuters.com, 16. www.nhregister.com, 17. www.nhregister.com, 18. www.nhregister.com, 19. m.economictimes.com, 20. www.reuters.com, 21. m.economictimes.com, 22. m.economictimes.com, 23. www.nhregister.com, 24. www.reuters.com, 25. www.bloomberg.com, 26. www.bls.gov, 27. www.bls.gov, 28. www.reuters.com, 29. www.reuters.com, 30. www.reuters.com, 31. www.reuters.com, 32. www.reuters.com, 33. www.reuters.com, 34. www.reuters.com, 35. www.morningstar.com, 36. www.fool.com, 37. www.reuters.com, 38. www.reuters.com, 39. www.reuters.com, 40. www.bls.gov, 41. m.economictimes.com, 42. www.reuters.com
