Wall Street closed flat on Friday, hovering near the previous session's record-high close for the Dow and S&P 500, while the dollar firmed as investors digested the Federal Reserve's 50-basis-point cut midweek that started a rate reducing cycle.

The S&P 500 is hovering just below record territory, driven by a revived rally as bets have grown that the Federal Reserve will cut interest rates by half a percentage point.

Wall Street slid from the previous session's record highs and the dollar steadied on Friday as the market knuckled down to the start of a rate reducing cycle that began with a mid-week jumbo cut by the U.

U.S. stock indexes remained stuck in place as Wall Street made few big moves ahead of what’s expected to be the first cut to interest rates in more than four years.

The US stock markets opened lower on Friday, September 20, as investors held back after a jump in the previous session, which was fueled by the United States Federal Reserves (FED) big 50 basis point rate cut on Wednesday.

Wall Street ticked slightly higher as markets awaited an expected interest rate cut by the U.S. Federal Reserve, the first in more than four years.

Asian stocks surged on Friday with Japan’s Nikkei leading regional gains after Wall Street romped to records following the Federal Reserve’s big cut to interest rates.

Traders in Asia will also look toward August consumer prices index from Japan and Hong Kong, and central bank decisions from Bank of Japan and People's Bank of China.

Japan's Nikkei share average jumped more than 2 per cent in the morning session on Friday, tracking overnight gains on Wall Street, while traders also kept a wary eye ahead of the Bank of Japan's policy decision later in the day.