The Globe and Mail reports in its Thursday edition that the U.S. Federal Reserve kept its key interest rate unchanged Wednesday, and its officials signalled that they expect to make three quarter-point cuts to their benchmark rate next year. An Associated Press dispatch to The Globe quotes chairman Jerome Powell saying that Fed officials believe inflation has cooled enough for optimism. "Inflation keeps coming down, the labour market keeps getting back into balance and, it's so far, so good," Mr. Powell said after the Fed's 19-member policy committee ended its latest meeting. On Wall Street, traders celebrated the prospect of lower rates ahead. Stock prices soared and bond yields sank after the Fed's policy-makers signalled that they envision three interest-rate cuts in 2024. In Toronto, the S&P/TSX Composite Index soared 395.61 points to close at 20,629.45. The Fed's latest policy statement and Mr. Powell's remarks at his news conference marked a major shift in the central bank's outlook on interest rates and the economy. Just two weeks ago, Mr. Powell had said it was "premature" to conclude that the Fed has finished raising its key benchmark rate or to speculate about cuts in that rate.