The U.S. economy is shedding jobs, which could allow the Federal Reserve to cut interest rates amid benign wage inflation. The S&P 500 is eyeing a new all-time high. Stocks are getting support from a strong corporate earnings season and a pullback in Fed rate-hike expectations following Friday’s weak jobs data. According to Scott Chronert, strategist at Citi Research, this dynamic exemplifies that bad news is good news, for now.
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