Wall Street cracks post US Fed: Dow Jones, Nasdaq, S&P 500 drop nearly 1% post Powell's comments on future rate cuts
US Stock Market today: The benchmark indices on Wall Street cracked post the US Fed outcome on Wednesday as Dow Jones, Nasdaq, and S&P 500 dropped nearly 1% post Powell's comments on future rate cuts.
US Stock Market today: The benchmark stock market indices on Wall Street cracked after the US Federal Reserve Chairman Jerome Powell announced that a potential rate cut in the Fed's December policy is not a ‘foregone conclusion’ and quite far from the real picture.
“A further reduction in the policy rate at the December meeting is not a foregone conclusion, far from it,” said US Fed Chair Jerome Powell on Wednesday.
The Nasdaq Composite dropped 0.92% to hit the intraday low of 23,763.99 points, compared to 23,984.41 points during the early trading session. The benchmark index is trading 0.30% higher at 23,897.96 points as of 3:29 p.m. (EDT), according to the data collected from Marketwatch.
Other benchmark indices in US markets like the Dow Jones Industrial Average lost 0.80% as the index dropped to its intraday low of 47,473.39 points, compared to 47,854.21 points during Wednesday's trading session. The Dow Jones is trading 0.45% lower at 47,490.22 points as of 3:36 p.m. (EDT).
The S&P 500 also dropped 0.82% to hit its intraday low of 6,851.91 points during Wednesday's Wall Street session, compared to 6,908.24 points ahead of Powell's comments.
US Fed's October policy outcome
The United States Federal Reserve's Federal Open Market Committee (FOMC) on Wednesday, 29 October 2025, decided to cut its key benchmark interest rate by 25 basis points to the range of 3.75-4.00%.
“In support of its goals and in light of the shift in the balance of risks, the Committee decided to lower the target range for the federal funds rate by 1/4 percentage point to 3-3/4 to 4 per cent,” the FOMC said in its official announcement.
The US central bank said that the committee will be focusing on the incoming data and assessing the evolving outlook, along with the balance of risk in the US economy, to decide the future path for the interest rate cuts.
“In considering additional adjustments to the target range for the federal funds rate, the Committee will carefully assess incoming data, the evolving outlook, and the balance of risks,” they said.
Read all stories by Anubhav Mukherjee
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- Dow Jones, Nasdaq, and S&P 500 dropped nearly 1% post-Powell's comments on future rate cuts.
- A potential rate cut in the Fed's December policy is not a ‘foregone conclusion’, said Powell.
- US Fed cut its key interest rate by 25 bps to the range of 3.75-4.00%.
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