Market Optimism Soars with Anticipated Fed Rate Cut Amid U.S. Shutdown

Wall Street indexes appeared poised for a positive close on Friday, with investor sentiment buoyed by anticipations of an interest-rate cut from the Federal Reserve. This optimism comes despite ongoing challenges stemming from the U.S. government shutdown, which began on Wednesday.

The federal shutdown has caused interruptions in the delivery of crucial economic data used by the central bank. The delay of the nonfarm payrolls report, originally scheduled for Friday, has left investors to rely on other indicators, which suggest a softening in the labor market that keeps hopes of a rate cut alive.

Friday's market optimism was further strengthened by the technology sector's performance, which helped investors overlook the political deadlock in Washington. The leading indexes reached record highs on Thursday and seemed set to extend their gains if current levels persisted.

(With inputs from agencies.)