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Six Strategists on Why Stocks Didn’t Lose It Over Tougher Powell

  • Fed cuts interest rates a quarter point for third time in 2019
  • Stocks erase early losses as Powell signals he’s done cutting
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Guggenheim's Minerd Says Fed Is on a Short Fuse After Rate Cut

Strong signals from Federal Reserve Chairman Jerome Powell that he is, for now, finished cutting interest rates failed to incite terror in the U.S. stock market. Quite the opposite: the S&P 500 erased early losses and rose as much as 0.4% during the final hour, sending it back to record territory. Unlike last year, when stern words from Powell ignited the worst fourth quarter for equities in a decade, investors had faith his current pause doesn’t amount to an abandonment of their cause.

Chris Zaccarelli, chief investment officer for Independent Advisor Alliance: