Nasdaq Hits New Heights Amid Fed Rate Cut Anticipation

The Nasdaq soared to a new record high on Monday, fueled by a rally from semiconductor giant Broadcom, while investors keenly await potential Federal Reserve interest rate cuts to bolster economic growth.

Concerns about a flagging U.S. job market have heightened expectations for multiple rate reductions after a dismal nonfarm payrolls report last Friday. Traders now expect at least a 25 basis point cut when the Fed concludes its meeting on September 17, with some even speculating a 50 basis point cut, based on interest rate futures.

Broadcom saw a 2.7% gain, its share prices bolstered by optimistic forecasts for its AI-related revenue. Observers are also eyeing upcoming inflation data and the Bureau of Labor Statistics' payroll revisions for insights into economic health. EchoStar surged 18% following its deal with SpaceX, contrasting with the decline of many S&P 500 stocks.