United States (US) stocks experienced significant changes following the decision of the Federal Reserve (Fed) which cut interest rates by 50 basis points to the latest level of 5.00%, the first reduction in more than four years.
This decision is seen as an aggressive step in the easing of the Fed's monetary policy.
Initially, major indexes, including the Dow Jones, the S&P 500, and the Nasdaq, saw gains hit new record highs.
However, at the end of trading, the main index returned lower and closed lower.
Fed Chairman Jerome Powell stressed that while the US economy remains strong, this rate cut does not indicate a continued aggressive approach to easing monetary policy.
Investors are now focused on upcoming economic indicators, such as jobless claims and home sales, along with corporate earnings from companies such as FedEx and Darden Restaurants.
These factors will play an important role in shaping the direction of the market moving forward.
