The US Federal Reserve implemented a widely anticipated "hawkish cut" to its benchmark interest rates, lowering them to 3.5%-3.75%, which sparked a stock market rally despite ongoing concerns about the labor market and future rate trajectory.Investors reacted positively to the Fed's decision to resume buying Treasury securities and Chair Jerome Powell's remarks hinting at support for the economy, although some analysts remain cautious given the central bank's "wait and see" approach for future cuts.Global markets observed mixed sentiment, with European indexes generally lower, while Donald Trump's approval of H200 AI chip sales to China boosted technology stocks, and major tech firms like Microsoft and Amazon announced significant AI investments in India.