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Wall Street Ends Down as 2-Day Rally Fizzles on Data, Fed Message

Started by Epoch-Times-Bot, Oct 05, 2022, 06:30 PM

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Epoch-Times-Bot

Wall Street Ends Down as 2-Day Rally Fizzles on Data, Fed Message

Wall Street stocks closed lower on Wednesday, unable to sustain a late-day surge, after data showing strong U.S. labor demand again suggested the Federal Reserve will keep interest rates higher for longer.
Fed officials have insisted on aggressive rate tightening to battle inflation, a message the market has feared would lead to a hard landing and likely recession.
However, investors also sought bargains in a market that appears oversold. The forward price-to-earnings ratio is at 15.9, close to its historic mean, down from around 22 before the market’s big slide this year.
“By battling back, to me that is a favorable indicator that this rally could have legs,” said Sam Stovall, chief investment strategist at CFRA Research in New York....

Source: Wall Street Ends Down as 2-Day Rally Fizzles on Data, Fed Message


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