NEW YORK - The S&P 500 SPX fell to its lowest level in almost two years on Tuesday due to concerns about the Federal ReserveFederal Reserve policy tightening, trading under its June trough, and investors appraising how much more stocks would have to fall before stabilizing.
After the benchmark index fell more than 20% from its early January high to a low on June 16, which confirmed that the retreat was indeed a bear market, the S&P rallied into mid-August before running out of gas.
ROBERT PAVLIK, DAKOTA WEALTH, IN FAIRFIELD, CONNECTICUT It's disappointing, but it's not a surprise. People are concerned about the Federal ReserveFederal Reserve, the direction of interest rates, the health of the economy, and the next couple of weeks with earnings season coming up and companies reporting less than expected earnings. The support level for the S&P is probably 3400, maybe 3200 and the worst case is probably 3000. The market is going to be weak as long as the Fed continues to raise rates and investors don't anticipate an end to the rate hikes. We've seen a number of bear market rallies year to date. Would I be surprised to see the market bounce up again? I wouldn't. Traders are looking for opportunities like that. I think it takes a long rally to anticipate the end of the Fed rate hikes.