Why Virgin Galactic Stock Popped Today
Shares of Virgin Galactic (NYSE: SPCE) jumped as much as 11% early Thursday then settled to close up 4.5% as investors cheered the prospect of lower interest rates in the coming year.
There was no company-specific news to justify Virgin Galactic's pop today. But even as the broader market was roughly flat (with both the S 500 and Nasdaq Composite indexes up around 0.2% today), many growth stocks rallied after central bank officials indicated yesterday that they will likely cut interest rates multiple times in 2024.
In their December meeting yesterday, policymakers on the Federal Open Market Committee not only held interest rates flat for the third straight month but also signaled there will be at least three rate cuts in 2024. This will mark the first interest-rate reductions since the Fed began raising rates in March 2022 to combat high inflation.
Source Fool.com
