Lucid Group (NASDAQ: LCID) stock is making big gains Friday. The electric vehicle (EV) company's share price was up 9.6% as of 3 p.m. ET, according to data from S&P Global Market Intelligence.

The EV specialist's stock is gaining ground following comments from Federal Reserve Chairman Jerome Powell suggesting that central banking authority is on track to cut interest rates in September. In addition to being a bullish catalyst for the stock market at large, rate cuts could be an especially positive development for Lucid and other high-risk, high-reward stocks.

Speaking at the keynote address of a Fed event in Wyoming, Powell confirmed that long-awaited interest rate cuts are now on the near horizon. Citing improved inflation data and signs of weakening in the labor market, Powell stated that the time had come for rate policy to be adjusted. While he didn't make any guarantees, that seemingly sets the stage for the Fed to announce rate cuts with its September meeting.

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Source Fool.com