Stocks Rebound Fizzles as Traders Assess Where Rates Take Market
- S&P 500, Nasdaq 100 cap worst two-day decline since mid-June
- Morgan Stanley says earnings bigger risk to shares than rates
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A nascent afternoon rally in the stock market failed to hold as US equities ended Monday lower with investors weighing the health of Corporate America as the Federal Reserve plans to rapidly raise rates and keep them there for longer than expected to combat inflation.
The S&P 500 Index cut losses to 0.7% and briefly turned green but was eventually dragged down by technology firms. The Nasdaq 100 Index fell 1% with 10-year Treasury yields climbing above 3.1%. The blue-chip Dow Jones Industrial Average slid 0.6%.