Archive · 12 Dec 2025

Markets React to Fed Rate Cut

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.

Sources