Fed Rate Cut, Mixed Equities & Market Trends: Macro Pilgrim's Ledger Dec 14

Fed cuts rates 25bps. S&P 500/Dow hit highs, Nasdaq lagged. Full market analysis: yields, gold surge, labor data, and key week ahead.

“Walking the path of global markets, one step at a time.”

Global equity markets finished the week with mixed performance as investors digested the Federal Reserve’s December policy decision.

The S&P 500 and Dow Jones Industrial Average reached record closing highs on Thursday following the Fed’s 25‑basis‑point rate cut, while the Nasdaq lagged amid sector‑specific weakness, particularly in technology‑related stocks. By Friday afternoon, most major indexes had turned lower as rotation out of high‑growth names continued and profit‑taking emerged in parts of the market.

Treasury yields rose early in the week as investors awaited the Fed meeting, with the 10‑year yield rising, before moderating and drifting lower after the rate decision. The U.S. dollar softened in the wake of the Fed’s action, while oil prices traded with volatility amid ongoing supply concerns and geopolitical developments.

Precious metals saw notable activity, with gold prices climbing to multi‑week highs and silver reaching record levels during the week before trading somewhat off those peaks into Friday.

“Monetary policy is not just about interest rates; it is about how central banks shape credit creation across the economy.” - Richard Werner