Overview
- The Federal Reserve lowered rates by 25 basis points to 3.75%–4.00%, and Chair Jerome Powell said a December reduction is “not a foregone conclusion.”
- Market pricing for a December cut fell to about 73% as the dollar strengthened and risk assets weakened, with Bitcoin near $110,000.
- Earnings from megacaps diverged as Alphabet jumped roughly 8% on a $100 billion revenue quarter, while Meta slid around 9–12% and Microsoft fell about 2–3% on spending concerns tied to AI.
- President Trump said tariffs on Chinese goods were reduced to 47% and a one‑year understanding on rare earths was reached, though initial Chinese commentary signaled no finalized deal.
- Indian equities tracked the global pullback, with the Sensex down 592.67 points and the Nifty off 176.05 as FPIs sold Rs 3,077.59 crore and domestic institutions bought Rs 2,469.34 crore.