Fading interest rate concerns support the US stock exchanges – Dow Jones closes in the black

new York In anticipation of a slower pace of rate hikes by the Fed, more investors are stocking up on US stocks. The US blue chip index Dow Jones and the broader S&P 500 were each up more than a percent on Monday, to 31,499 and 3797 points respectively. The tech-heavy Nasdaq advanced nearly a percent. A report by the Wall Street Journal on Friday, according to which the US central bankers want to discuss a smaller rate hike at their upcoming meeting in early November, provided momentum.

“Investors are becoming more confident that inflation will come down and that the Fed could pause quickly,” said Oanda analyst Edward Moya. “The impact of the first rate hikes will be felt over the next few months as markets seek to pre-empt the point at which the Fed will hit the pause button.”