Stocks Are Close to Wiping Out Trump Bump as Rate Fears Kick In
- S&P 500 briefly falls below closing level before Trump’s win
- Rally in Treasury yields sends ripples through equities market
The initial exuberance around Trump’s agenda has abated somewhat in recent weeks.
Photographer: Michael Nagle/BloombergThis article is for subscribers only.
It’s the round-trip ticket no one on Wall Street wanted.
The S&P 500 Index on Monday briefly dropped below where it ended on Nov. 5, just before Donald Trump was elected president, and closed only slightly above that level on Monday. Investors are dumping stocks and interest rates are climbing as fears grow that inflation remains stubborn and the Federal Reserve will have to pare back its plans for rate cuts this year to fight it. Friday’s surprisingly strong jobs data only intensified those worries.