Wall Street Ends Best Week of 2024 as Fed Prepares for Rate Cut

U.S. stocks surge with tech leading gains, while the Federal Reserve is expected to announce a rate cut next week amid easing inflation.

The S&P 500 rose 0.5% on Friday, closing just 0.7% below its all-time high set in July, driven by strong performances from tech stocks like Nvidia and Microsoft.
The Dow Jones Industrial Average gained 297 points, nearing its record high, while the Nasdaq composite added 0.7%.
Inflation continues to decline, with the Consumer Price Index showing a modest 0.2% rise for August and a 2.5% year-over-year increase, the lowest since February 2021.
The Federal Reserve is expected to announce its first interest rate cut in over four years next week, with speculation on whether it will be a 25 or 50 basis point reduction.
Consumer spending shows signs of tightening, with rising credit card and auto loan delinquencies, and mortgage purchase applications falling to 30-year lows despite lower mortgage rates.