Stocks hang onto gains as rate cuts in focus

Global stocks on Friday mostly held onto gains made earlier this week on expectations of a cut to US interest rates.

Wall Street's S&P 500 and Nasdaq Composite indices struck fresh record highs during morning trading.

Both indices had joined the Dow Jones Industrial Average in setting all-time highs on Thursday after US inflation and jobless claims data cemented expectations that the Federal Reserve will trim borrowing costs at its meeting next week.

However, the three indices were mixed at the end of the session, with only the Nasdaq index climbing slightly to a new high.

"Stock markets (are) at record highs on hopes for falling interest rates," noted Derren Nathan, head of equity research at stockbroker Hargreaves Lansdown.

Markets expect the Fed to cut interest rates by a quarter p