Fed Rate Cut Boosts Market, Small Businesses
Update: 2025-12-09
Description
Stock Market Rebounds: Fed Rate Cuts Boost ConfidenceThe stock market has rebounded from recent worries, reaching near record highs, largely due to anticipation of Federal Reserve interest rate cuts. These cuts make borrowing cheaper, encouraging spending and investing, and boosting business growth and profits. The Russell 2000 index, which includes smaller companies, has also hit a record high, benefiting from lower interest expenses and wider profit margins. The Feds quarterly economic projections, released this Wednesday, will provide insights into future rate cuts, but inflation could slow down further cuts.
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