Wall Street stocks closed at new highs on Sept 19, extending gains after the Federal Reserve (Fed) delivered its first interest rate cut of 2025 and signalled further easing ahead.
The Dow Jones Industrial Average rose 0.4% to 46,315.27, the S&P 500 gained 0.5% to 6,664.36 and the Nasdaq Composite advanced 0.7% to 22,631.48. All three indexes notched record closes for the second straight session.
The Fed lowered rates by 25 basis points on Sept 17 and indicated the possibility of two additional cuts this year, citing softer labour data. Policymakers stressed that future moves would depend on incoming economic conditions.
Investor sentiment was further buoyed by signs of progress in US-China relations where US President Donald Trump called his conversation with Chinese President Xi Jinping “very productive”, noting discussions on the sale of TikTok, though no agreement was reached. The constructive tone marked a contrast with tariff tensions earlier in the year.
Company news also fuelled optimism. FedEx rose 2.4% after reporting higher quarterly profits, helped by strong US operations and cost reductions. Apple gained 3.2% as the launch of its latest iPhones drew long lines at stores, signalling robust consumer demand.
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