Markets Mixed Amid US-Japan Trade Talks and Fed Caution

Financial markets fluctuated as investors responded to US-Japan trade discussions and cautious Federal Reserve comments regarding interest rates. Market movements were further influenced by corporate earnings reports, ECB rate cuts, and geopolitical tensions. Investors showed caution as concerns over trade and central bank independence lingered.

Wall Street experienced mixed reactions on Thursday as investors showed cautious optimism amid trade discussions between the United States and Japan. Despite some positive developments, Federal Reserve Chair Jerome Powell's remarks on interest rates tempered enthusiasm.

President Donald Trump's presence at the trade talks and comments about progress offered some encouragement to investors, but details were scarce. The S&P 500 saw modest gains, while the Nasdaq remained steady. Alphabet faced a decline after a legal ruling on advertising practices.

Elsewhere, the European Central Bank made expected rate cuts, reflecting uncertainty from the ongoing trade tensions. Analysts observed a shift in focus toward economic growth risks. Currency fluctuations and interest rate concerns continued to influence market directions.

(With inputs from agencies.)