LIVE MARKETS-Fed hangover: Stocks mixed, tech drags

Welcome to the home for real-time coverage of markets brought to you by Reuters reporters. You can share your thoughts with us at markets.research@thomsonreuters.com

FED HANGOVER: STOCKS MIXED, TECH DRAGS

Wall Street, weighed down by tech, was mixed in early Thursday trading as investors continued to digest the Fed's "hawkish cut" as they assessed economic data.

The S&P 500 and the Nasdaq were lower while the Dow and smallcaps .RUT were enjoying gains in the first half hour of the session.

Six of the seven stocks called "magnificent" were magnificently red - Microsoft MSFT.O was the exception - weighing the Nasdaq down the most.

On Thursday, stocks rallied in reaction to the Fed delivering its third and final interest rate cut of 2025, as expected, pushing the bellwether S&P 500 within striking distance of a fresh all-time closing high, a summit last scaled on October 28.

Labor Department data showed an unexpected jump in initial jobless claims last week and the September trade gap shrinking to its narrowest in over five years as President Donald Trump's tariffs and a weak greenback helped boost exports and keep imports muted.

With just over two weeks remaining in the 2025, interrupted here and there by market holidays, investors are positioning themselves for year-end and looking ahead to 2026, with promises fewer rate cuts amid a sturdy economy, if the Fed is to be believed.

Here's where things stood as of 9:45 EST:

(Stephen Culp)

EARLIER ON LIVE MARKETS:

NEXT YEAR, STOCKS OUTLOOK BRIGHT EVEN WITH “WALL OF SKEPTICISM” CLICK HERE

EUROPEAN EQUITIES: OPPORTUNITY AMID LOW EXPECTATIONS CLICK HERE

HOW INSTITUTIONAL INVESTORS REACTED TO US SHUTDOWN - SURVEY CLICK HERE

STOXX EDGES UP CLICK HERE

BEFORE THE BELL: EUROPE RESILIENT, AI PLAYS TREMBLE CLICK HERE

ORACLE BRINGS REALITY CHECK AFTER FED-INSPIRED RALLY CLICK HERE