Stocks Drop With Valuation Near Highest Since 2000: Markets Wrap

  • S&P 500 still notches seventh consecutive monthly advance
  • Wells Fargo risks regulatory action over pace of restitution
Fed Won’t Be Major FX Driver for ‘A Time,’ Citi’s Rahbari Says (Video)
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The stock-market euphoria abated in the last trading day of August as investors assessed whether lofty valuations can withstand the unwinding of pandemic-era stimulus.

The S&P 500 dropped from an all-time high, while European shares fell on signals the region’s policy makers will start discussing a reduction of bond purchases. Wells Fargo & Co. tumbled after Bloomberg News reported that the bank risks regulatory action over the pace of restitution. Traders also sifted through data showing a slide in U.S. consumer confidence and a surge in home prices.