Archive · 12 Dec 2025
Markets React to Fed Rate Cut
Japan's main stock market, called the Nikkei, went down a little bit today.
This happened because a big company called SoftBank Group lost a lot of value.
SoftBank was following another company, Oracle, which also lost value because it didn't make as much money as people thought it would.
Earlier, the Nikkei had gone up a bit, but then it went down because of SoftBank's loss.
Other tech companies in Japan also went down, but some banks and a few other companies went up.
The stock market in the U.S. went up last night after the Federal Reserve, which controls money in the U.S., cut interest rates a little bit.
The Dow Jones and S&P 500 ended at record highs, while the Nasdaq recovered from earlier losses.
Oracle's stock fell significantly after its results disappointed investors, while Broadcom's results beat expectations.
The Fed's rate cut has also pushed the US Dollar index below 99, and gold and silver prices have surged.
Japan's Nikkei share average dipped 0.1% to 50,554.10 after early gains.
SoftBank Group fell 5.17% tracking Oracle's 11% decline in extended trading.
Oracle's missed sales and profit forecasts raised concerns about SoftBank's data center project.
Wall Street ended higher after the Federal Reserve cut interest rates by 25 basis points.
Bank shares rose, with Mizuho Financial Group up 0.53% and Sumitomo Mitsui Financial Group up 0.62%.
- Who
- Japan's Nikkei share average, SoftBank Group, Oracle, Wall Street, Federal Reserve
- What
- Nikkei dipped, SoftBank fell, Oracle missed forecasts, Wall Street rose, Fed cut interest rates
- When
- Thursday
- Where
- Tokyo, Japan; Wall Street, USA
- Why
- SoftBank tracked Oracle's decline after missed forecasts, Fed rate cut boosted Wall Street
- Nikkei Index
- 50,554.10 (down 0.1%)
- Topix Index
- 3,383.12 (down 0.17%)
- SoftBank Group
- Down 5.17%
- Oracle
- Down 11% in extended trading
- Wall Street
- Ended higher after Fed rate cut
- Mizuho Financial Group
- Up 0.53%
- Sumitomo Mitsui Financial Group
- Up 0.62%
- Advantest
- Up 4.49%
- Toppan Holdings
- Up 5.3%
- Dow Jones
- Ended 650 points higher, above 48,700
- S&P 500
- Closed above 6,900, near record high
- Nasdaq
- Recovered 300 points, ended flat
- Initial Jobless Claims
- Increased by 44,000 to 2.36 lakh
- Broadcom
- Down 4.5% in extended trading, up 75% YTD
- US Dollar Index
- Below 99
- Gold Prices
- Above $4,300, up nearly 60% this year
- Silver Prices
- Near $65, up nearly 120% this year