Wall Street rallies despite Powell's neutral stance; Dow jumps 558 points to 48,120, Russell 2000 surges 1.7%. Fed holds rates at 3.50–3.75%.

Stocks surged despite Federal Reserve Chair Jerome Powell maintaining a neutral stance following the bank's third rate cut, dispelling hopes for further easing. The Russell 2000 rose 1.7%, reaching all-time highs, while the Dow Jones gained 558 points to 48,120, and the S&P 500 and Nasdaq 100 also climbed. Although a rate cut in January was ruled out, investors were encouraged by the Fed's improved economic outlook, projecting stronger growth, softer inflation, and steady interest rates. The Federal Open Market Committee reduced the federal funds rate to 3.50–3.75%, citing labor and inflation conditions. Powell indicated rates are "within a broad range of estimates of neutral," implying a pause to assess future developments.