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Wall Street Rebounds as Tokyo Stocks Slide on Profit-Taking

Profit-taking after sharp gains gives way to cautious positioning before next week’s Fed decision.

Overview

  • U.S. stocks rose on Dec. 5 with the Dow up 104.05 points to 47,954.99 on expectations the Federal Reserve may deliver another rate cut next week.
  • A day earlier, the Dow slipped 31.96 to 47,850.94 while the Nasdaq gained 51.05 to 23,505.14.
  • Japan’s Nikkei closed down 536.55 at 50,491.87 after falling more than 800 points intraday as investors locked in profits.
  • Selling focused on semiconductor heavyweights such as Tokyo Electron and Advantest, and a brief rise in long-term yields added pressure.
  • The dollar traded in the low-155 yen range, with yen buying on Fed-cut bets offset by support for the dollar from higher U.S. long-term rates.