U.S. stock futures traded higher early Thursday as traders reacted to the Federal Reserve’s widely expected 25-basis-point rate cut. Futures on the Nasdaq 100 (NDX), the S&P 500 (SPX), and the Dow Jones Industrial Average (DJIA) were up 0.66%, 0.47%, and 0.36%, respectively, at 3:38 a.m. EST on September 18.
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During Wednesday’s regular trading session, markets were volatile following the Fed’s decision. The Dow Jones rose 0.57%, marking the only gain among major indexes, while the S&P 500 slipped 0.10% and the Nasdaq Composite declined 0.33%.
At a press conference after the decision, Fed Chair Jerome Powell said the latest rate cut was about “risk management,” not the start of many cuts. The Fed expects two more this year and just one in 2026, while traders had hoped for two to three next year.
Looking ahead, investors are awaiting the initial jobless claims for the week ending September 12 and new U.S. leading economic indicators, both scheduled for release today.
On the earnings front, FedEx (FDX) and Lennar (LEN) are scheduled to report their quarterly numbers today.
Meanwhile, the U.S. 10-year Treasury yield was down, floating near 4.05%. WTI crude oil futures were trending lower, hovering near $63.72 per barrel as of the last check. Additionally, the Gold Spot U.S. dollar price decreased to nearly $3,677 per ounce on Thursday.
Elsewhere, European stocks opened higher on September 18 as traders assessed the U.S. Fed’s quarter-basis-point cut. Meanwhile, the Bank of England (BOE) is scheduled to announce its interest rate decision later today, with traders expecting the BOE to hold the rates steady.
Asia-Pacific Markets Traded Mixed Today
Asia-Pacific markets traded mixed on Thursday as global investors digested the U.S. interest rate decision. The Bank of Japan (BOJ) also began its two-day policy meeting, with most economists expecting rates to remain unchanged.
Hong Kong’s Hang Seng index dropped 1.32%. In China, the Shanghai Composite fell 1.15%, while the Shenzhen Component lost 1.09%. Meanwhile, Japan’s Nikkei advanced 1.15%, and the Topix rose 0.41%.
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