The Globe and Mail reports in its Thursday, Dec. 4, edition that U.S. stocks moved higher Wednesday as a flurry of economic data kept expectations elevated for an interest rate cut by the Federal Reserve next week. A Reuters dispatch to The Globe reports that the Dow Jones Industrial Average rose 408.44 points, or 0.86 per cent, to 47,882.90, the S&P 500 gained 20.35 points, or 0.30 per cent, to 6,849.72 and the Nasdaq Composite gained 40.42 points, or 0.17 per cent, to 23,454.09. Microsoft fell 3 per cent after a report said it has cut artificial intelligence software sales quotas after many sales staff missed their targets in the fiscal year that ended in June. But shares bounced off session lows after CNBC said Microsoft denied the report, which helped pull the S&P 500 and Nasdaq into positive territory. Microsoft closed down 2.5 per cent. Rate cut expectations have lifted small caps recently, with the Russell 2000 index gaining nearly 2 per cent on the session, following last week's 5.5 per cent surge. BofA Securities analyst Jill Carey Hall said, "We expect small caps to outperform in 2026, with earnings to drive returns." She added that Fed rate cuts and a strong capex cycle would be strong drivers.