U.S. equities rallied sharply Friday after Federal Reserve Chair Jerome Powell signalled the central bank could begin easing monetary policy as soon as next month. In a closely watched address at the Fed’s annual Jackson Hole symposium, Powell said that with policy already in restrictive territory, “the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance.” Investors interpreted the remarks as paving the way for a rate cut at the 17–18 September meeting. Futures tied to the federal-funds rate priced in about a 91% chance of a 25-basis-point reduction, up from roughly 75% earlier in the week, according to CME Group’s FedWatch tool. Treasury yields retreated across the curve, led by the benchmark 10-year note. The Dow Jones Industrial Average jumped around 900 points, or 2%, to finish at an all-time high, marking its biggest one-day advance since May 27. The S&P 500 gained 1.6% and the Nasdaq Composite rose nearly 2%. Shares of megacap technology companies led the move: Tesla added about 5%, while Meta, Alphabet and Amazon each advanced more than 2%; Nvidia climbed 1.3%. The rally helped the major averages erase most of the week’s earlier losses.