New York (CNN Business) US stocks recorded their second best day of the year on Tuesday, rallying as hopes for a Federal Reserve rate cut took hold and worries about an escalating trade war took a backseat. Thefinished the day up 512 points, or 2.1% — its best day since January 4. Although Powell didn't echo Bullard's more explicit expectation for a rate cut, investors seems to have heard all they needed to hear. Expectations for an interest rate cut were already growing before this week's comments by Bullard and Powell, noted MUFG chief financial economist Chris Rupkey. Trump has long called on the central bank to cut rates to stimulate the economy.

Source: CNN June 04, 2019 16:51 UTC