US stocks today: Wall Street trades mixed after Fed’s rate cut; Dow jumps over 170 points, S&P slips 0.17%

US markets saw a mixed performance on Wednesday after the Federal Reserve delivered its first interest rate cut of the year and hinted that more reductions are expected in the coming months. The S&P 500 edged down 0.17% or 11 points, reaching 6,595. Nasdaq Composite also slipped 79 points or 0.36%, reaching 22,254, because of handful major big tech stocks falling.The Dow Jones Industrial Average gained 178 points, or 0.39%, tradding at 45,936 at 12:43 AM IST.The market reacted after the Fed reduced its main interest rate for the first time this year, a move Wall Street had largely anticipated. Even more significant, however, were the projections released by Fed officials, suggesting additional rate cuts are likely both this year and next. They signalled that the typical member expects the federal funds rate to fall to between 3.25% and 3.50% by the end of next year, down from the current 4% to 4.25% range. Investors have already pushed stock prices to record highs on the expectation of easier borrowing costs, with some critics warning that shares may now be overvalued. Had the Fed suggested fewer cuts were likely, markets could have reacted sharply, weighing down prices sharply, according to AP.Lower interest rates can give the economy a much-needed boost, and recent signs suggest the jobs market could use that support. Hiring has been slow enough that employment may now pose a bigger challenge for the economy than rising inflation. The Fed, which adjusts interest rates to manage both inflation and employment, had kept rates steady earlier this year over concerns that US President Donald Trump’s tariffs could push up prices across many products. Inflation has so far remained above the Fed’s 2% target. After the Fed’s projections, shares in companies likely to benefit most from cheaper borrowing led the gains. Smaller firms, which often rely on loans to grow and compete with larger rivals, helped lift the Russell 2000 index by 1%, outpacing the broader market.Lyft surged 11.9% after announcing it will launch an autonomous ride-hailing service in Nashville in partnership with Waymo. Workday climbed 6.9% following news that Elliott Investment Management had built a stake worth more than $2 billion and voiced support for the company’s management. The business software provider, which helps clients manage finances and human resources, also expanded its share buyback programme by up to $4 billion to return cash to investors, AP reported. However, losses among a few major technology stocks held back broader indexes. Nvidia fell 3.2% and Broadcom dropped 4.7%. Both had previously helped drive Wall Street to record highs, fuelled by excitement over artificial intelligence, regardless of interest rate movements.Meanwhile, in Europe and Asia, indexes traded mixed.