US stocks surge into positive territory on surprise Fed rate cut

[NEW YORK] Wall Street stocks jumped Tuesday after the Federal Reserve announced a large interest rate cut to counter the risk of recession due to the coronavirus.

Around 1505 GMT, the Dow Jones Industrial Average was at 27,040.74, up 1.3 per cent.

The broad-based S&P 500 gained 1.4 per cent to 3,133.37, while the tech-rich Nasdaq Composite Index advanced 1.2 per cent to 9,063.33.

The gains after the rate cut reversed the market's early weakness Tuesday, which reflected unease after a statement from the G7 avoided specific measures to boost growth.

AFP

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