U.S. Stock Market Reaches New Highs Amid Fed's Rate Cut Outlook

According to PANews, Wall Street concluded a highly anticipated Federal Reserve week with U.S. stock markets reaching record highs. The prospect of further interest rate cuts has bolstered corporate earnings forecasts, enhancing risk appetite among investors. Despite calls for a pause after the S&P 500 index rebounded nearly $15 trillion from its April low, bullish sentiment prevails. Key events for the upcoming week include several speeches by Federal Reserve officials. On Monday at 21:45 UTC+8, FOMC permanent voting member and New York Fed President John Williams will discuss monetary policy and economic outlook. At 22:00 UTC+8, 2025 FOMC voting member and St. Louis Fed President James Bullard will address the U.S. economic outlook and monetary policy. On Tuesday at 00:00 UTC+8, 2026 FOMC voting member and Cleveland Fed President Loretta Mester will speak on the U.S. economy, followed by 2027 FOMC voting member and Richmond Fed President Thomas Barkin discussing economic conditions. At 22:00 UTC+8, 2027 FOMC voting member and Atlanta Fed President Raphael Bostic will talk about economic prospects. Thursday's schedule includes a 04:10 UTC+8 speech by 2027 FOMC voting member and San Francisco Fed President Mary Daly. At 20:20 UTC+8, 2025 FOMC voting member and Chicago Fed President Austan Goolsbee will speak, followed by a 21:00 UTC+8 welcome address by John Williams at the fourth annual conference on the international role of the dollar. On Friday, Federal Reserve Governor Michael Barr will discuss bank stress testing at 01:00 UTC+8. At 03:30 UTC+8, Mary Daly will speak again, followed by Thomas Barkin at 21:00 UTC+8. Finally, Federal Reserve Governor Michelle Bowman will deliver a speech at 22:00 UTC+8. The Federal Reserve's recent 25 basis point rate cut was anticipated, but the latest dot plot indicates only two more cuts this year, signaling a slowdown in the pace of easing. This contrasts sharply with the market's previous expectations of a more aggressive easing path. Marc Chandler of Bannockburn Forex noted that the market had been pricing in a more dovish Fed, and the relatively tighter stance has forced a strategic realignment.