S&P 500 Struggles to Extend Post-Election Advance: Markets Wrap
- Treasury two-year yield slides from highest level since July
- Markets see 80% chance of December Fed cut after CPI data
Stocks wavered as speculation the market has run too far after the US election offset bets the Federal Reserve will keep cutting rates.
Equities lost steam in the final stretch of New York trading, with the S&P 500 almost erasing an advance partly fueled by in-line inflation data. In late hours, Cisco Systems Inc. delivered an upbeat outlook for the current period, but a conservative annual forecast brought a muted reaction from investors. Shorter-dated Treasuries outperformed, with the yield on two-year notes dropping from the highest since July. Swap traders boosted to about 80% the probability that the Fed will cuts rates again on Dec. 18. The dollar held at a two-year high. Bitcoin pared gains after earlier topping $93,000.