Wall Street Prepares for Federal Reserve Meeting Amidst Easing Yields

Big changes might be coming to how money works in the United States. Wall Street, where people buy and sell pieces of companies, is getting ready for an important meeting about it.

Last time, the stock market went up more than 1%. That's good news after a few weeks of it going down because of worries about money and problems in the Middle East.

American businesses have not been doing so well recently. The S&P 500 (a way of measuring how the stock market is doing) and the Nasdaq (where technology companies are listed) are having their toughest October since 2018.

Some big companies shared their money news. One that makes heavy machines, Caterpillar, saw its value drop by nearly 5% before the market opened. This happened because the stores that sell their machines have too many in stock, and not as many people want to buy them.

Pfizer, a company that makes medicine, also had some not so good news. Their shares (pieces of the company that people can buy) went down by 0.7% after they said they lost money in the last few months.

The government also had something to say about money. They said they would borrow less money this time than they thought before. This is good news for everybody.

A money expert named Kim Forrest said, "The news about companies making money is mixed. But the government's plans to borrow less money is good for the market."

So, what's next? Well, there's going to be a meeting where important people from the government will talk about how they will use money. It's expected they will keep things the same, at least for now.

We'll have to listen carefully to what they say after the meeting, because it will give us clues about what they will do with money in the future.

Besides money talks, we'll also get some reports about jobs. This is important because it tells us how strong the country's economy is.

Other countries are also doing things with their money. Japan, for example, is changing how they handle long-term interest rates.

Right now, it looks like the stock market will open higher. This is good news for people who have money in the stock market. But we have to wait and see what happens.

Some companies are doing really well. A website called Pinterest, where people share pictures, saw its value go up by 16% before the market opened. They made more money than people expected.

But some other companies are not doing so well. Companies from China like JD.Com, Alibaba, and Bilibili saw their value go down. This happened because factories in China are not making as many things as they usually do.

A company that makes sneakers called VF Corp also had some trouble. They had to change their plans for the year and their value went down by 6.1%. But a company called Arista Networks, which helps with internet stuff, is doing really well. Their value went up by 10.3%.

Unfortunately, a company called Sarepta Therapeutics had a big problem. They are trying to find a way to help people with muscle problems, but their idea didn't work. Their value went down a lot, by 40.9%. This also affected another company, Catalent, whose value went down by 11.8%. They were helping Sarepta with their idea.

So, there's a lot happening with money today. We'll be keeping an eye on it to see what happens next. Stay tuned!

Also Read: Experts Doubt Year-End Stock Rally: Insights from Morgan Stanley's Michael Wilson