U.S. Stocks Soar and Gold Hits Record as Fed Rate Cut Speculation Grows

U.S. stocks surged on Friday, and gold hit record highs as investors speculated on aggressive rate cuts by the Federal Reserve in an upcoming policy meeting. The anticipation drove up stock indexes and gold prices while causing a dip in the dollar and Treasury yields.

U.S. stocks advanced on Friday, with investors closely watching the Federal Reserve's upcoming policy meeting for potential aggressive rate cuts.

Futures associated with the Fed's policy rate indicated a 43% chance for a half-point rate cut, rising from 28% earlier in the week. This anticipation boosted stocks, gold, and Treasury prices while driving down the dollar.

All three major U.S. indexes reported gains in midday trading. The Dow Jones was up by 0.72%, the S&P 500 gained 0.56%, and the Nasdaq rose by 0.64%. MSCI's global stock gauge also increased by 0.64% to 826.87 points.

(With inputs from agencies.)