New york: US stocks closed higher midweek as expectations for a rate cut at the Federal Reserve's December meeting continued to build. The Dow Jones Industrial Average rose 0.67%, or 314.67 points, to close at 47,427.12. The Nasdaq increased 0.82%, or 189.1 points, to 23,214.69, while the S and P 500 added 0.69%, or 46.73 points, to 6,812.61. The Volatility Index (VIX), also known as the "fear index," fell 7.38% to 17.19.

According to Anadolu Agency, as expectations of a further Federal Reserve rate cut in December strengthened, US stock markets moved higher. Investors now see an 85% chance of a cut next month, as indicated by the CME FedWatch tool. Analysts noted that odds of a 25-basis-point reduction have risen following dovish remarks from several Fed officials, adding that recent data also gives the central bank room to ease policy further.

Meanwhile, the Fed's "Beige Book" report, which assesses the current state of the American economy, showed little change in economic activity. The report noted that overall consumer spending had further declined, with employment slightly slipping as well.

On the macroeconomic front, first-time unemployment claims in the US fell by 6,000 last week to 216,000, coming in below expectations. The new durable goods orders rose 0.5% in September from the previous month, matching forecasts. Meanwhile, shares of Google parent company Alphabet, which saw strong gains last week after the launch of its new AI model Gemini 3, fell 1%.