U.S. Stocks Rise; Nasdaq Surges as Fed Hike Expectations Ease

By EC Assets · Published 2 October 2026

U.S. stock markets opened higher with the Nasdaq Composite surging 1%. This movement occurred as investors pared expectations for Federal Reserve interest rate hikes. The shift in sentiment followed new jobs data. Wall Street was set to open higher, with jobs data dampening rate hike odds. Yields also fell. The Federal Reserve is now seen skipping an October rate hike due to a cooling job market. U.S. stock futures drifted higher with nonfarm payrolls in focus. Some U.S. stock futures advanced on Thursday. Investors assessed the Federal Reserve’s latest interest-rate increase. They also considered the prospect of further monetary tightening. Other U.S. futures were mixed ahead of the fourth quarter's first trading session. Investors evaluated higher Treasury yields during this period. September provided a stock-market reset. Scott Rubner of Citadel Securities suggested this points to a good end to the year. The S&P 500 is trading just shy of record territory. However, most individual stocks are struggling. Major indexes fell on Monday amid warnings about AI models. This article is intended for informational purposes only. It does not constitute investment advice.