Wall Street Rebounds Amid Fed's Steady Hand

Wall Street gains as U.S. Treasury yields surge, reflecting the Federal Reserve's moderated policy stance. Global markets react to Fed's outlook, with mixed performance across Europe and Asia. An upward revision in U.S. GDP and robust home sales highlight economic resilience, tempering investor concerns.

Wall Street saw a recovery on Thursday with benchmark U.S. Treasury yields reaching their highest levels since May, as stocks rebounded following the Federal Reserve's stance on monetary policy. Meanwhile, crude prices dropped and gold saw a boost, indicating a market adjusting to the central bank's approach to gradual policy easing.

Economic projections by the Fed and a deceleration in expected rate cuts led to a significant U.S. stock selloff on Wednesday. Bill Merz from U.S. Bank Wealth Management noted investor reactions to Jerome Powell's remarks, which suggested potential changes in rate cut plans.

Market performances worldwide varied, with noteworthy declines in European stocks, while the U.S. economy showed strength through revisions in GDP and home sales. Investors continued to watch central banks globally as they concluded an eventful year of policy decisions.

(With inputs from agencies.)