NEW YORK (AP) 鈥� Most U.S. stocks rose as the Federal Reserve cut interest rates again to make things easier for the economy. The S&P 500 climbed 0.7% Thursday. The Dow Jones Industrial Average was barely changed, and the Nasdaq composite gained 1.5%. The rate cut was widely expected. Federal Reserve Chair Jerome Powell said it鈥檚 too early to know how Donald Trump鈥檚 presidential victory will shift the Fed鈥檚 rate policies. Treasury yields remained lower following the Fed鈥檚 announcement. Bank stocks and smaller companies also lagged the market as other Trump trades lost momentum.
THIS IS A BREAKING NEWS UPDATE. AP鈥檚 earlier story follows below.
NEW YORK (AP) 鈥� U.S. stocks are rising Thursday, as the again to make things easier for the economy.
The S&P 500 was up 0.9% in late trading, adding more to following . The Dow Jones Industrial Average was up 69 points, or 0.2%, with 45 minutes remaining in trading, and the Nasdaq composite was 1.6% higher.
The Fed鈥檚 announcement that it was easing its main interest rate caused few ripples in the market because even the precise size of it was so well anticipated by investors. Stocks had already been up for much of the day and moved only a bit higher after the Fed's announcement in the afternoon.
The central bank began easing rates in September and indicated more cuts were likely to come, as it focuses more on keeping humming after helping get . What's less certain in the minds of investors is how much the Fed's plans.
Trump is pushing for tariffs and other policies that economists say , along with the economy鈥檚 growth. Traders have already begun paring forecasts for how many cuts to rates the Fed will deliver next year because of that. While lower rates can boost the economy, they can also give inflation more fuel.
For now, Fed Chair Jerome Powell said, nothing is changing. 鈥淚n the near term, the election will have no effects,鈥� he said.
With any president, Powell said the Fed looks at possible policy changes and simulates how they could affect the economy. And only after looking at the overall effect of all the policies do Fed officials decide how that should shape interest-rate policy. At this point, Powell said it's still not clear what the policy changes will be after Trump returns to the White House.
鈥淲e don't guess, we don't speculate and we don't assume,鈥� he said.
On Wall Street, healthcare services company McKesson helped drive the market by jumping 10.7% after reporting a stronger profit for the latest quarter than analysts expected.
Lyft revved up by 24.1% after the ride-hailing app breezed past Wall Street鈥檚 sales and profit expectations, and Ralph Lauren rose 5.4% after customers in Asia and Europe helped it deliver a bigger profit than expected.
They helped make up for bank stocks, which gave back some of their stellar gains from the day before. Other 鈥淭rump trades鈥� that had rocketed higher after the election also lost some of their juice.
JPMorgan Chase fell 4.4%, a day after banks decisively led the market on expectations that a stronger economy and lighter regulation from Washington would mean fatter profits.
Smaller U.S. stocks also lagged the market, with the Russell 2000 index virtually unchanged. A day before, it more than doubled the S&P 500鈥檚 gain on expectations that would most benefit smaller, more domestically focused companies.
The stock that鈥檚 become most synonymous with the president-elect, , fell 21.4%.
In the bond market, the yield on the 10-year Treasury eased to 4.31% from 4.44% late Wednesday. It gave back a chunk of its surge from the prior day, driven by expectations that Trump鈥檚 plans for could lead to bigger economic growth, U.S. government debt and inflation.
A report on Thursday showed slightly more U.S. workers , though the number was what economists expected. A separate preliminary report said U.S. workers improved their productivity during the summer, which can help keep a lid on inflation, but not by quite as much as economists expected.
In stock markets abroad, London鈥檚 FTSE 100 fell 0.3% after the its own interest rate by a quarter of a percentage point.
In Asia, Japan鈥檚 Nikkei 225 slipped 0.3% amid worries about the potential for a revival of trade tensions under a Trump administration.
鈥淚 think everybody鈥檚 going to be worried about Trump鈥檚 tariffs because that鈥檚 one of the things in his playbook. And so we鈥檒l have to see how things develop in the early stages of his presidency this time,鈥� said Neil Newman, head of strategy for Astris Advisory Japan.
Stocks rallied 2% in Hong Kong and 2.6% in Shanghai rallied after the Chinese government reported in October at the fastest pace in more than two years.
Trump has promised to slap blanket 60% tariffs on all Chinese imports, raising them still more if Beijing makes a move to invade the self-governing island of Taiwan. That would add to the as it struggles to revive slowing growth in the world鈥檚 second-largest economy.
But the impact may be less drastic than feared, Zichun Huang of Capital Economics said in a report.
鈥淲e expect shipments to stay strong in the coming months 鈥�- any drag from potential Trump tariffs may not materialize until the second half of next year,鈥� Huang said.
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AP Business Writers Matt Ott and Elaine Kurtenbach contributed.
Stan Choe, The Associated Press
