The US stock market has rebounded from sluggish trading at the start of the new year, defying investor worries about economic growth and inflation.
Despite low trading volumes, stocks on major indexes surged on Tuesday, ending a three-day losing streak. Market experts attributed the gains to renewed optimism over the government’s fiscal policy and interest rate decisions.
Investors had been awaiting news from the Federal Reserve, which was seen as crucial in shaping the market’s outlook for 2024. The Fed’s decision on interest rates is expected to impact inflation and economic growth, influencing investor sentiment and stock prices.
The rebound has lifted hopes that the US economy will avoid a recession, with experts citing moderate inflation and low unemployment rates as potential catalysts for growth.
Source: https://www.ft.com/content/aef0c524-01c1-44b0-acbd-affb531ce12b