Tech Stocks Surge After Federal Reserve's Jumbo Rate Cut

U.S. stock index futures rose on Thursday, driven by a 2% increase in Nasdaq futures after the Federal Reserve announced a significant 50-basis-point rate cut. This move benefited rate-sensitive growth stocks like Microsoft, Meta, and Alphabet. Analysts forecast more rate cuts, aiding the economy's soft landing prospects.

U.S. stock index futures surged on Thursday, highlighted by a 2% jump in Nasdaq futures following the Federal Reserve's substantial 50-basis-point interest rate cut. This strategic move aims to facilitate a soft landing for the world's largest economy.

Rate-sensitive growth stocks, pivotal in this year's market rally, saw premarket gains. Tech giants Microsoft, Meta, and Alphabet all advanced by 2%, while semiconductor stocks like Nvidia, Advanced Micro Devices, and Broadcom posted significant increases.

Futures tracking the Russell 2000 index surged 3%, reflecting optimism about lower operating costs and higher profitability in a low-interest environment. Key metrics also showed positive premarket trends for Dow, S&P 500, and Nasdaq E-minis.

(With inputs from agencies.)