FXStreet (Mumbai) – The stock markets in the US rallied as investors cheered another 25 bps rate cut announced by China today.

At the time of writing, the Dow Jones Industrial Average (DJIA) was up 125 points, while the S&P had gained 18 points. The Nasdaq was up 100 points as well.

The People’s Bank of China (PBOC) announced cut its benchmark interest rate and lending rate by 25 basis points, a day after ECB’s Draghi hinted at more easing in December. PBOC reduced 1-Year Lending Rate By 25 Bps to 4.35% effective as of Oct 24 and 1-Year Deposit Rate by 25 Bps, to 1.50%.

The PBOC’s decision comes a day after the ECB President Draghi hinted at more easing in December.

The IT stocks are on the rise today. Alphabet, Microsoft and Amazon posted better-than-expected results. Microsoft shares gained 11%, while Apple shares advanced 2.39%. Meanwhile, Nike and Coca-Cola lost 2.3% and 1%, respectively.

The stock markets in the US rallied as investors cheered another 25 bps rate cut announced by China today.

(Market News Provided by FXstreet)

By FXOpen