{"id":27682,"date":"2025-11-26T18:21:00","date_gmt":"2025-11-26T23:21:00","guid":{"rendered":"https:\/\/sharewatch.com\/wp\/2025\/11\/26\/stocks-supported-by-fed-rate-cut-optimism\/"},"modified":"2025-11-26T18:21:00","modified_gmt":"2025-11-26T23:21:00","slug":"stocks-supported-by-fed-rate-cut-optimism","status":"publish","type":"post","link":"https:\/\/sharewatch.com\/wp\/2025\/11\/26\/stocks-supported-by-fed-rate-cut-optimism\/","title":{"rendered":"Stocks Supported by Fed Rate-Cut Optimism"},"content":{"rendered":"<div class=\"layout__region nsdq-l-grid__item syndicated-article-body\">\n<section class=\"jupiter22-c-article-body\">\n<div class=\"body\">\n<div class=\"body__content\">\n<p>The\u00a0S&#038;P 500 Index ($SPX) (SPY) today is up by +0.60%,\u00a0the Dow Jones Industrials Index ($DOWI)\u00a0(DIA) is up by +0.62%, and the\u00a0Nasdaq 100 Index ($IUXX) (QQQ) is up by +0.70%.\u00a0 December E-mini S&#038;P futures (ESZ25) are up +0.59%, and December E-mini Nasdaq futures (NQZ25) are up +0.69%.<\/p>\n<p>Stock indexes are moving higher today, with the S&#038;P 500 and Dow Jones Industrials posting 1.5-week highs.\u00a0 Strength in semiconductor stocks today is lifting the overall market.<\/p>\n<div class=\"ads__inline\">\n<div id=\"js-dfp-tag-nG4\"  class=\"btf-bodymidpagetwothirdswidth-1\">          <script type=\"text\/javascript\">         googletag.cmd.push(function() {             \/\/ Check if ID matches ID in the window.adsList array before calling googletag.display             function isAdInAdsList(id) {             for (var i = 0; i < window.adsList.length; i++) {                 if (window.adsList[i].id === id) {                     return true;                 }             }             return false;         }         if (isAdInAdsList('js-dfp-tag-nG4')) {             googletag.display('js-dfp-tag-nG4');         }         });     <\/script> <\/div>\n<\/p><\/div>\n<p>     <span>Join 200K+ Subscribers: <\/span> Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.  <\/p>\n<p>\u00a0<\/p>\n<p>Also, optimism about a Fed rate cut is boosting stocks heading into Thursday\u2019s Thanksgiving Day holiday.\u00a0 Market sentiment has improved this week, as bond yields have fallen amid weak US economic news and dovish Fed comments, strengthening the case for a rate cut at next month\u2019s FOMC meeting.\u00a0 The chance of a Fed rate cut at the December 9-10 FOMC meeting has risen to 80% from 30% last week.<\/p>\n<p>Stocks also received support from today\u2019s US economic news, which bolstered optimism about the economic outlook after weekly jobless claims unexpectedly fell to a 7-month low and Sep capital goods new orders, a proxy for capital spending, rose more than expected.\u00a0<\/p>\n<p>US MBA mortgage applications rose +0.2% in the week ended November 21, with the purchase mortgage sub-index up +7.6% and the refinancing mortgage sub-index down -5.7%.\u00a0 The average 30-year fixed rate mortgage rose +3 bp to 6.40% from 6.37% in the prior week.<\/p>\n<p>US weekly initial unemployment claims unexpectedly fell -6,000 to a 7-month low of 216,000, showing a stronger labor market than expectations of an increase to 225,000.<\/p>\n<div class=\"ads__inline\">\n<div id=\"js-dfp-tag-Yq4\"  class=\"btf-bodymidpagetwothirdswidth-2\">          <script type=\"text\/javascript\">         googletag.cmd.push(function() {             \/\/ Check if ID matches ID in the window.adsList array before calling googletag.display             function isAdInAdsList(id) {             for (var i = 0; i < window.adsList.length; i++) {                 if (window.adsList[i].id === id) {                     return true;                 }             }             return false;         }         if (isAdInAdsList('js-dfp-tag-Yq4')) {             googletag.display('js-dfp-tag-Yq4');         }         });     <\/script> <\/div>\n<\/p><\/div>\n<p>US Sep capital goods new orders nondefense ex-aircraft and parts, a proxy for capital spending, rose +0.9% m\/m, stronger than expectations of +0.3% m\/m.<\/p>\n<p>The Bureau of Labor Statistics (BLS) canceled its October consumer price report last Friday and said the November report will be released on December 18.\u00a0 Last Wednesday, the BLS said it would not publish an October employment report and noted that it would incorporate those payroll figures into the November report, scheduled for publication on December 16.\u00a0<\/p>\n<p>The markets are discounting an 80% chance of another -25 bp rate cut at the next FOMC meeting on December 9-10.<\/p>\n<p>Q3 corporate earnings season is drawing to a close as 475 of the 500 S&P companies have released results.\u00a0 According to Bloomberg Intelligence, 83% of reporting S&P 500 companies exceeded forecasts, on course for the best quarter since 2021. \u00a0Q3 earnings rose +14.6%, more than doubling expectations of +7.2% y\/y.\u00a0<\/p>\n<p>Overseas stock markets are mixed today.\u00a0 The Euro Stoxx 50 is up +1.06%. \u00a0China\u2019s Shanghai Composite closed down -0.15%. \u00a0Japan\u2019s Nikkei Stock 225 closed up +1.85%.<\/p>\n<div class=\"ads__inline\">\n<div id=\"js-dfp-tag-odU\"  class=\"btf-bodymidpagetwothirdswidth-3\">          <script type=\"text\/javascript\">         googletag.cmd.push(function() {             \/\/ Check if ID matches ID in the window.adsList array before calling googletag.display             function isAdInAdsList(id) {             for (var i = 0; i < window.adsList.length; i++) {                 if (window.adsList[i].id === id) {                     return true;                 }             }             return false;         }         if (isAdInAdsList('js-dfp-tag-odU')) {             googletag.display('js-dfp-tag-odU');         }         });     <\/script> <\/div>\n<\/p><\/div>\n<p><strong>Interest Rates<\/strong><\/p>\n<p>December 10-year T-notes (ZNZ5) today are down by -5 ticks. \u00a0The 10-year T-note yield is up +2.9 bp to 4.025%.\u00a0 Today\u2019s strength in stocks is weighing on T-note prices.\u00a0 Also, supply pressures are negative for T-notes, as the Treasury will auction $44 billion of 7-year T-notes to conclude this week\u2019s $211 billion in T-notes and floating-rate note auctions. \u00a0T-notes remained lower after US weekly initial unemployment claims unexpectedly fell to a 7-month low, a sign of labor market strength that is hawkish for Fed policy.<\/p>\n<p>European government bond yields are mixed.\u00a0 The 10-year German bund yield rebounded from a 1.5-week low of 2.660% and is up +1.1 bp to 2.683%.\u00a0 The 10-year UK gilt yield fell to a 1.5-week low of 4.419% and is down -2.1 bp to 4.473%.<\/p>\n<p>ECB Governing Council member Boris Vujcic said risks to economic growth and inflation in the Eurozone are balanced, and \"for the time being,\" interest rates are in a good place.<\/p>\n<p>Swaps are discounting a 2% chance for a -25 bp rate cut by the ECB at its next policy meeting on December 18.<\/p>\n<p><strong>US Stock Movers<\/strong><\/p>\n<p>Strength in chip makers is a supportive factor for the overall market.\u00a0 ASML Holding NV\u00a0(ASML)\u00a0is up more than +4%, and Marvell Technology\u00a0(MRVL), Micron Technology\u00a0(MU), and Intel\u00a0(INTC)\u00a0are up more than +2%.\u00a0 Also, Nvidia\u00a0(NVDA), Advanced Micro Devices\u00a0(AMD), ARM Holdings Plc\u00a0(ARM), Analog Devices\u00a0(ADI), Lam Research\u00a0(LRCX), NXP Semiconductors NV\u00a0(NXPI), and ON Semiconductor\u00a0(ON)\u00a0are up more than +1%.\u00a0<\/p>\n<div class=\"ads__inline\">\n<div id=\"js-dfp-tag-dMQ\"  class=\"btf-bodymidpagetwothirdswidth-4\">          <script type=\"text\/javascript\">         googletag.cmd.push(function() {             \/\/ Check if ID matches ID in the window.adsList array before calling googletag.display             function isAdInAdsList(id) {             for (var i = 0; i < window.adsList.length; i++) {                 if (window.adsList[i].id === id) {                     return true;                 }             }             return false;         }         if (isAdInAdsList('js-dfp-tag-dMQ')) {             googletag.display('js-dfp-tag-dMQ');         }         });     <\/script> <\/div>\n<\/p><\/div>\n<p>Urban Outfitters (URBN) is up more than +12% after reporting Q3 net sales of $1.53 billion, better than the consensus of $1.49 billion.<\/p>\n<p>Autodesk (ADSK) is up more than +7% to lead gainers in the S&P 500 and the Nasdaq 100 after reporting Q3 billings of $1.86 billion, above the consensus of $1.84 billion, and raising its 2025 billings estimate to $7.47 billion-$7.53 billion from a previous estimate of $7.36 billion-$7.45 billion, stronger than the consensus of $7.41 billion.\u00a0<\/p>\n<p>Robinhood Markets\u00a0(HOOD)\u00a0is up more than +6% after announcing it has bought a majority stake in LedgerX, a US-based derivatives exchange, giving Robinhood access to the prediction markets.<\/p>\n<p>Oscar Health\u00a0(OSCR) is up more than +6% after Piper Sandler upgraded the stock to overweight from neutral with a price target of $25.\u00a0<\/p>\n<p>Dell Technologies (DELL) is up more than +2% after raising its 2026 revenue forecast to $112.2 billion-$112.2 billion from a previous forecast of $105 billion-$109 billion, stronger than the consensus of $107.94 billion.\u00a0<\/p>\n<div class=\"ads__inline\">\n<div id=\"js-dfp-tag-N_E\"  class=\"btf-bodymidpagetwothirdswidth-5\">          <script type=\"text\/javascript\">         googletag.cmd.push(function() {             \/\/ Check if ID matches ID in the window.adsList array before calling googletag.display             function isAdInAdsList(id) {             for (var i = 0; i < window.adsList.length; i++) {                 if (window.adsList[i].id === id) {                     return true;                 }             }             return false;         }         if (isAdInAdsList('js-dfp-tag-N_E')) {             googletag.display('js-dfp-tag-N_E');         }         });     <\/script> <\/div>\n<\/p><\/div>\n<p>Amentum Holdings (AMTM) is up more than +1% after Morgan Stanley upgraded the stock to equal weight from underweight.\u00a0<\/p>\n<p>Nutanix (NTNX) is down more than -17% after reporting Q1 revenue of $670.6 million, weaker than the consensus of $676.6 million, and cutting its 2026 revenue forecast to $2.82 billion-$2.86 billion from a previous forecast of $2.90 billion-$2.94 billion, well below the consensus of $2.92 billion.\u00a0<\/p>\n<p>Ambarella\u00a0(AMBA) is down more than -13% after forecasting Q4 adjusted gross margin of 59% to 60.5%, below the consensus of 60.6%.\u00a0<\/p>\n<p>Zscaler (ZS) is down more than -10% to lead losers in the Nasdaq 100 after forecasting 2026 revenue of $3.28 billion-$3.30 billion, only slightly above the consensus of $3.28 billion.\u00a0<\/p>\n<p>Workday\u00a0(WDAY) is down more than -8% to lead losers in the S&P 500 after reporting Q3 subscription revenue of $2.24 billion, right on consensus.\u00a0<\/p>\n<div class=\"ads__inline\">\n<div id=\"js-dfp-tag-zz4\"  class=\"btf-bodymidpagetwothirdswidth-6\">          <script type=\"text\/javascript\">         googletag.cmd.push(function() {             \/\/ Check if ID matches ID in the window.adsList array before calling googletag.display             function isAdInAdsList(id) {             for (var i = 0; i < window.adsList.length; i++) {                 if (window.adsList[i].id === id) {                     return true;                 }             }             return false;         }         if (isAdInAdsList('js-dfp-tag-zz4')) {             googletag.display('js-dfp-tag-zz4');         }         });     <\/script> <\/div>\n<\/p><\/div>\n<p>Deere & Co\u00a0(DE) is down more than -3% after forecasting 2026 net income of $4.00 billion to $4.75 billion, well below the consensus of $5.31 billion.\u00a0<\/p>\n<p>HP Inc\u00a0(HPQ) is down\u00a0more than -2% after forecasting 2026 adjusted EPS of $2.90 to $3.20, weaker than the consensus of $3.32.\u00a0<\/p>\n<p><strong>Earnings Reports(11\/26\/2025)<\/strong><\/p>\n<p>Deere & Co (DE).\u00a0<\/p>\n<p><i>     On the date of publication,      Rich Asplund              did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes.          For more information please view the Barchart Disclosure Policy      here. <\/i><\/p>\n<p>\u00a0<\/p>\n<p> More news from Barchart <\/p>\n<ul>\n<li>Stock Index Futures Gain on Fed Rate-Cut Optimism, U.S. Economic Data on Tap<\/li>\n<li>Corporate Insiders Have Sold $25 Billion in Stock in Just 60 Days. Before You Panic and Sell Your Shares, Read This.<\/li>\n<li>Warren Buffett Warns to Stop Worrying About Market Volatility, \u2018Short-Term Market Forecasts Are Poison\u2019<\/li>\n<li>S&P Futures Tick Lower With Focus on U.S. Retail Sales and PPI Data<\/li>\n<\/ul>\n<p class=\"body__disclaimer\">The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<\/section>\n<p>        <script type=\"text\/javascript\">   \/\/ add oddAd class to every odd instance of body .ads__inline for different placeholder styles   let articleAds = document.querySelectorAll('.ads__inline');   for (let i = 0, len = articleAds.length; i < len; i++) {     \/\/ Do the below only if the curent count is less than 12     if ((i < 12) &#038;&#038; (i % 2 === 0)) {       articleAds[i].className += ' oddAd';     }   } <\/script>                                               <\/p>\n<div class=\"jupiter22-c-tags jupiter22-c-tags-default\">\n<h3 class=\"jupiter22-c-tags-title\">         Tags       <\/h3>\n<div class=\"jupiter22-c-tags-container\">Stocks<\/div>\n<\/p><\/div>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The\u00a0S&#038;P 500 Index ($SPX) (SPY) today is up by +0.60%,\u00a0the Dow Jones Industrials Index ($DOWI)\u00a0(DIA) is up by +0.62%, and the\u00a0Nasdaq 100 Index ($IUXX) (QQQ) is up by +0.70%.\u00a0 December E-mini S&#038;P futures (ESZ25) are up +0.59%, and December E-mini Nasdaq futures (NQZ25) are up +0.69%. Stock indexes are moving higher today, with the S&#038;P [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":27683,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"ocean_post_layout":"","ocean_both_sidebars_style":"","ocean_both_sidebars_content_width":0,"ocean_both_sidebars_sidebars_width":0,"ocean_sidebar":"","ocean_second_sidebar":"","ocean_disable_margins":"enable","ocean_add_body_class":"","ocean_shortcode_before_top_bar":"","ocean_shortcode_after_top_bar":"","ocean_shortcode_before_header":"","ocean_shortcode_after_header":"","ocean_has_shortcode":"","ocean_shortcode_after_title":"","ocean_shortcode_before_footer_widgets":"","ocean_shortcode_after_footer_widgets":"","ocean_shortcode_before_footer_bottom":"","ocean_shortcode_after_footer_bottom":"","ocean_display_top_bar":"default","ocean_display_header":"default","ocean_header_style":"","ocean_center_header_left_menu":"","ocean_custom_header_template":"","ocean_custom_logo":0,"ocean_custom_retina_logo":0,"ocean_custom_logo_max_width":0,"ocean_custom_logo_tablet_max_width":0,"ocean_custom_logo_mobile_max_width":0,"ocean_custom_logo_max_height":0,"ocean_custom_logo_tablet_max_height":0,"ocean_custom_logo_mobile_max_height":0,"ocean_header_custom_menu":"","ocean_menu_typo_font_family":"","ocean_menu_typo_font_subset":"","ocean_menu_typo_font_size":0,"ocean_menu_typo_font_size_tablet":0,"ocean_menu_typo_font_size_mobile":0,"ocean_menu_typo_font_size_unit":"px","ocean_menu_typo_font_weight":"","ocean_menu_typo_font_weight_tablet":"","ocean_menu_typo_font_weight_mobile":"","ocean_menu_typo_transform":"","ocean_menu_typo_transform_tablet":"","ocean_menu_typo_transform_mobile":"","ocean_menu_typo_line_height":0,"ocean_menu_typo_line_height_tablet":0,"ocean_menu_typo_line_height_mobile":0,"ocean_menu_typo_line_height_unit":"","ocean_menu_typo_spacing":0,"ocean_menu_typo_spacing_tablet":0,"ocean_menu_typo_spacing_mobile":0,"ocean_menu_typo_spacing_unit":"","ocean_menu_link_color":"","ocean_menu_link_color_hover":"","ocean_menu_link_color_active":"","ocean_menu_link_background":"","ocean_menu_link_hover_background":"","ocean_menu_link_active_background":"","ocean_menu_social_links_bg":"","ocean_menu_social_hover_links_bg":"","ocean_menu_social_links_color":"","ocean_menu_social_hover_links_color":"","ocean_disable_title":"default","ocean_disable_heading":"default","ocean_post_title":"","ocean_post_subheading":"","ocean_post_title_style":"","ocean_post_title_background_color":"","ocean_post_title_background":0,"ocean_post_title_bg_image_position":"","ocean_post_title_bg_image_attachment":"","ocean_post_title_bg_image_repeat":"","ocean_post_title_bg_image_size":"","ocean_post_title_height":0,"ocean_post_title_bg_overlay":0.5,"ocean_post_title_bg_overlay_color":"","ocean_disable_breadcrumbs":"default","ocean_breadcrumbs_color":"","ocean_breadcrumbs_separator_color":"","ocean_breadcrumbs_links_color":"","ocean_breadcrumbs_links_hover_color":"","ocean_display_footer_widgets":"default","ocean_display_footer_bottom":"default","ocean_custom_footer_template":"","ocean_post_oembed":"","ocean_post_self_hosted_media":"","ocean_post_video_embed":"","ocean_link_format":"","ocean_link_format_target":"self","ocean_quote_format":"","ocean_quote_format_link":"post","ocean_gallery_link_images":"on","ocean_gallery_id":[],"footnotes":""},"categories":[18],"tags":[],"class_list":["post-27682","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-stock","entry","has-media"],"_links":{"self":[{"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/posts\/27682","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/comments?post=27682"}],"version-history":[{"count":0,"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/posts\/27682\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/media\/27683"}],"wp:attachment":[{"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/media?parent=27682"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/categories?post=27682"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sharewatch.com\/wp\/wp-json\/wp\/v2\/tags?post=27682"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}