Wall Street inched higher on Tuesday, with the Nasdaq 100 outperforming other major indices, while cyclical sectors linked to metals and industrial commodities saw strong gains, fueled by a surprise stimulus package from China’s central bank.

The People’s Bank of China (PBOC) unveiled a series of aggressive measures, including cuts to the reserve requirement ratio (RRR) for banks and a reduction in the seven-day repo rate, following a recent cut to the 14-day reverse repo rate. These moves are expected to inject roughly $140 billion (1 trillion yuan) into the banking system, providing banks with additional liquidity to boost lending.

Chinese equities skyrocketed on the news, with the iShares China Large-Cap ETF (NYSE:FXI) soaring over 8%, marking its largest single-day gain since March 2022.

Commodities followed suit with copper and silver climbing more than 3% each, while gold rose 0.7%, hitting record highs for the fourth consecutive session.

The Nasdaq 100 posted a 0.5% gain, leading U.S. indices, while the S&P 500 remained nearly flat, hovering just shy of its all-time highs.

The U.S. dollar weakened by 0.4% following a lower-than-expected September consumer confidence report from the Conference Board. This data has bolstered expectations for a potential 50-basis-point rate cut by the Federal Reserve in November.

Treasury yields fell on short-term maturities, while longer-dated yields held steady. Oil prices climbed 1.2%, though concerns about U.S. demand lingered due to the disappointing consumer confidence figures.

Bitcoin (CRYPTO: BTC) slipped 0.2% failing to join the China-led rally across other risk assets.

Tuesday’s Performance In Major US Indices, ETFs

According to Benzinga Pro data:

Tuesday’s Stock Movers

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