Stocks surged to open Thursday trading in the wake of the Federal Reserve’s announcement that it was lowering interest rates by half a percentage point. The Fed’s cut was widely expected, but came in larger than many analysts were forecasting. “The continued decline in mortgage rates is giving the mortgage market a much-needed boost,” Bob Broeksmit, the president and CEO of the Mortgage Bankers Association, said in a statement. At the same time, a growing set of indicators suggest economic growth may have begun heading in the wrong direction. “The Fed has signaled a high sensitivity to labor-market weakness,” Nomura Holdings financial group said in a note to clients Thursday.

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Persons: Stocks, Jay Powell, ” Powell, It’s, “, Bob Broeksmit, ”, Powell Organizations: Dow Jones, Nasdaq, Fed, Mortgage Bankers Association, ” Nomura Holdings, Wall Street, Bank of America Locations: U.S