Core Points - US stock market rose significantly following the Federal Reserve's decision to cut interest rates again, with the Dow Jones increasing by nearly 500 points and the S&P 500 approaching its all-time closing record [1][6] Group 1: Federal Reserve Actions - The Federal Reserve approved a 0.25 percentage point interest rate cut, marking the third cut this year, bringing the federal funds rate to a range of 3.50% to 3.75% [3][8] - The Fed announced it will begin purchasing Treasury securities starting December 12, with plans to buy $40 billion over the next 30 days [9][10] - The Fed's statement indicated that it would no longer set a total operation limit for its standing overnight repurchase agreements, allowing for full allocation through the FedTrade Plus platform [4][9] Group 2: Market Reactions - Wall Street interpreted the Fed's policy statement and Chairman Jerome Powell's remarks as positive signals for the stock market, particularly the announcement of short-term bond purchases [4][10] - The removal of the phrase "still at low levels" regarding the labor market suggests a shift in the Fed's focus towards supporting the economy rather than controlling inflation [10] - Market expectations indicate a 68% probability that the Fed will cut rates two or more times next year, despite the Fed's own forecast suggesting only one cut [5][10] Group 3: Economic Outlook - Economic growth expectations appear stronger, with a more moderate inflation outlook and neutral employment projections, contributing to bullish reactions in the stock market and bond yields [5][10] - The S&P 500 index is projected to potentially break the 7000-point mark in the coming weeks, following the recent upward trend [11]