AFP/Getty ImagesTopline: Investors are breathing a (small) sigh of relief as stocks rose dramatically in response to a potential federal interest rate cut and the easing of tariff tensions with Mexico. The Dow Jones Industrial Average ended with its best performance since January of this year, closing with a 512 point gain, up 2% from Monday’s close. Nasdaq is trading with a 194-point, or 2.6%, gain in after-hours, while the S&P 500 is trading up nearly 60 points, a 2.1% gain from Monday. The markets rallied immediately after Powell’s comments, which investors are interpreting to mean the Fed will likely cut interest rates to keep the economy stable. Mexico’s foreign minister said he was optimistic about an agreement on the proposed 5% tariffs in a Washington, D.C., news conference on Tuesday.

Source: Forbes June 04, 2019 20:42 UTC