US Stocks: Rally or Pause Ahead?

Will the impressive surge in U.S. stocks persist, or is a slowdown imminent? Investors are pondering this as the S&P 500 approaches year-end with potential new highs. Cooling inflation signals have kindled optimism that the Federal Reserve won't raise interest rates further, contributing to the recent 9% gain since late October. The index is now up almost 18% for the year, approaching its July peak, and about 2% shy of the year-high. The all-time high, set in January 2022, remains around 6% distant.