Click to play videoNew Delhi: US stocks rang up their biggest one-day gains in more than five years following that interest rate cut.
The Dow Jones industrial average climbed over 420 points, to end at 12,392.
The S&P 500 Index rose 54 points, or 4.24 per cent, to 1,330, while the Nasdaq, too, soared 4 per cent to close at 2,268.
Earlier, London Stock Exchange's FTSE had closed up 3.25 per cent in anticipation of the US Federal rate cut.
Meanwhile, Asian markets opened up for the day's business and look looks to be largely bullish on Wednesday, following the US Fed rate cut.
Japan's Nikkei jumped 2.9 per cent, tracking steep gains on Wall Street. It is currently trading at 12,359.
The Korean Kospi Index, too, is trading in the green, at 1,628.
On Monday, Shanghai Composite Index had closed in the green, up by 130 points.
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