{"id":35850,"date":"2025-12-03T11:17:45","date_gmt":"2025-12-03T03:17:45","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=35850"},"modified":"2025-12-03T11:17:45","modified_gmt":"2025-12-03T03:17:45","slug":"sp-500-steadies-as-traders-brace-for-fed-cut","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/sv-eu\/analysis\/sp-500-steadies-as-traders-brace-for-fed-cut\/","title":{"rendered":"S&amp;P 500 Steadies as Traders Brace for Fed Cut"},"content":{"rendered":"\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"559\" src=\"https:\/\/www.vtmarkets.com\/sv\/wp-content\/uploads\/sites\/10\/2025\/03\/image_fx_-2025-03-25T164602.009-1024x559.png\" alt=\"\" class=\"wp-image-19214\" srcset=\"https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/03\/image_fx_-2025-03-25T164602.009-1024x559.png 1024w, https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/03\/image_fx_-2025-03-25T164602.009-300x164.png 300w, https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/03\/image_fx_-2025-03-25T164602.009-768x419.png 768w, https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/03\/image_fx_-2025-03-25T164602.009.png 1408w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p><strong>Key Points<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>S&amp;P 500<\/strong> futures rose <strong>0.1%<\/strong>, with the index trading near <strong>6,851<\/strong>, supported by easing bond yields and improved risk sentiment.<\/li>\n\n\n\n<li><strong>Five-year JGB yield<\/strong> hit <strong>1.38%<\/strong>, its highest since June 2008, as traders bet on a <strong>BOJ rate hike<\/strong>, while markets await a <strong>Fed rate cut<\/strong> next week.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity is-style-dots\" \/>\n\n\n\n<p>Global markets regained balance on Wednesday following two volatile sessions that rattled sentiment across risk assets. The <strong>S&amp;P 500<\/strong> edged up <strong>0.13%<\/strong> to <strong>6,851.17<\/strong>, while futures contracts rose <strong>0.1%<\/strong>, mirroring modest gains across global equities.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">US stocks closed higher to record their sixth gain in seven sessions in muted trading, buoyed by gains in technology shares as expectations the Fed will cut interest rates next week remain elevated <a href=\"https:\/\/t.co\/alBwmn5qXu\">https:\/\/t.co\/alBwmn5qXu<\/a> <a href=\"https:\/\/t.co\/ysjB2wMYYz\">pic.twitter.com\/ysjB2wMYYz<\/a><\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/1996041698498228284?ref_src=twsrc%5Etfw\">December 3, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>The rebound comes as traders digested a temporary halt in the global bond selloff and renewed optimism for near-term U.S. monetary easing.<\/p>\n\n\n\n<p>Market calm was restored after the sharp early-week selloff triggered by rising Japanese yields and an unwind in leveraged carry trades.<\/p>\n\n\n\n<p>The episode exposed how fragile positioning remains across global portfolios, especially as the <strong>Bank of Japan (BOJ)<\/strong> inches closer to its first rate hike in decades.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">U.S. Focus Turns to a Dovish Fed<\/h2>\n\n\n\n<p>In the U.S., attention has returned to next week\u2019s <strong>Federal Open Market Committee (FOMC)<\/strong> meeting, with markets now fully pricing a <strong>December rate cut<\/strong>. Traders expect the policy shift to anchor equity performance into year-end, potentially fuelling a classic \u201cSanta rally.\u201d<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">After cutting rates by more than a percentage point, Fed officials are now wondering where to stop \u2013 and are more divided than ever <a href=\"https:\/\/t.co\/rwr1idZJy6\">https:\/\/t.co\/rwr1idZJy6<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/1995813295530312052?ref_src=twsrc%5Etfw\">December 2, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>The narrative is bolstered by speculation that <strong>Kevin Hassett<\/strong>, a known policy dove and White House economic adviser, could succeed <strong>Jerome Powell<\/strong> as the next Fed Chair. U.S. President <strong>Donald Trump<\/strong> confirmed he would announce his choice early next year.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Trump says he will announce Fed chief nominee in early 2026 <a href=\"https:\/\/t.co\/gAfvqd1wz1\">https:\/\/t.co\/gAfvqd1wz1<\/a> <a href=\"https:\/\/t.co\/gAfvqd1wz1\">https:\/\/t.co\/gAfvqd1wz1<\/a><\/p>&mdash; Reuters (@Reuters) <a href=\"https:\/\/twitter.com\/Reuters\/status\/1996024117217153459?ref_src=twsrc%5Etfw\">December 3, 2025<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>Analysts warn, however, that Hassett\u2019s close political ties could raise concerns about Fed independence.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Technical Analysis<\/h2>\n\n\n\n<p>The<a href=\"https:\/\/www.vtmarkets.com\/discover\/sp-500-trading-guide\/\" title=\" S&amp;P 500 \"> S&amp;P 500 <\/a>is showing fresh signs of strength, trading at 6851 and attempting to reclaim upside momentum after pulling back from its November high at 6928.82.<\/p>\n\n\n\n<p>The index continues to ride above its key moving averages (5, 10, and 30), which remain in a bullish formation. The recent bounce off the 6600\u20136650 support zone held firm, and price is now pressuring near-term resistance, suggesting a possible breakout setup.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"474\" src=\"https:\/\/www.vtmarkets.com\/sv\/wp-content\/uploads\/sites\/10\/2025\/12\/image-8-1024x474.jpeg\" alt=\"\" class=\"wp-image-35851\" srcset=\"https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/12\/image-8-1024x474.jpeg 1024w, https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/12\/image-8-300x139.jpeg 300w, https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/12\/image-8-768x355.jpeg 768w, https:\/\/www.vtmarkets.com\/sv-eu\/wp-content\/uploads\/sites\/10\/2025\/12\/image-8.jpeg 1280w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>The MACD has crossed back above the signal line with the histogram turning green, confirming a shift in momentum to the upside. However, the index still needs to break and close above the 6928 level to confirm a continuation of the broader uptrend.<\/p>\n\n\n\n<p>If successful, the next leg higher could aim toward 7000 and beyond. Failure to do so may result in another consolidation phase between 6600 and 6900.<\/p>\n\n\n\n<p>For now, the technical picture remains bullish with cautious optimism, supported by improving momentum and solid structure. Traders should monitor for a decisive breakout to confirm trend extension.<\/p>\n\n\n\n<h2 class=\"wp-block-heading has-medium-font-size\">Cautious Forecast<\/h2>\n\n\n\n<p>With liquidity conditions improving and a Fed cut in sight, the S&amp;P 500 could test the <strong>6,900\u20137,000<\/strong> range in December. However, renewed pressure from higher global yields or geopolitical risks could prompt short-term pullbacks toward <strong>6,700<\/strong> before year-end.<\/p>\n\n\n\n<p><strong>Stay on top of <a href=\"https:\/\/www.vtmarkets.com\/today-analysis\/\" target=\"_blank\" rel=\"noopener\" title=\"\">market moves<\/a> on <a href=\"http:\/\/www.vtmarkets.com\/trade-now\" target=\"_blank\" rel=\"noopener\" title=\"\">VT Markets<\/a>.<\/strong><\/p>\n\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The S&amp;P 500 recovered as traders position for a potential Federal Reserve rate cut next week and a calmer close to the year. &#8211; vtmarkets.com<\/p>\n","protected":false},"author":5,"featured_media":19214,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[21],"tags":[8,23],"class_list":["post-35850","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-indices","tag-sp500"],"acf":{"acf_article_selection_author":""},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/posts\/35850","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/comments?post=35850"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/posts\/35850\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/media\/19214"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/media?parent=35850"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/categories?post=35850"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/sv-eu\/wp-json\/wp\/v2\/tags?post=35850"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}