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Wall Street is relying too much on the Fed to extend the record rally, Wilmington Trust warns

Wall Street is relying too much on the Fed to extend the record rally, Wilmington Trust warns

Finance
Even if the Federal Reserve cuts rates later this month, Wilmington Trust's Meghan Shue warns the market is vulnerable to a correction.The firm's senior investment strategist believes Wall Street is overestimating the Federal Reserve's influence to support the record highs. "The market is putting a lot of stake in the ability of the Fed to support the market," she said on CNBC's "Futures Now " last Thursday.Shue sees a number of red flags that could prevent stocks from staying at record highs. She shifted to neutral from positive on the market in early May in reaction to the U.S.-China trade talks breaking down. "We've been a little bit more cautious," said Shue, a CNBC contributor. "If we do get that next round of tariffs on the remaining imports from China, we think it would be enough to...
‘Earnings could be volatile,’ long-term market bull warns

‘Earnings could be volatile,’ long-term market bull warns

Finance
An earnings season that delivers will play an integral role in whether the market can maintain all-time highs, according to Crossmark Global Investments' Victoria Fernandez.The chief market strategist believes Wall Street is completely discounting second earnings expectations right now, and that leaves little room for disappointments when the season kicks off this Monday. "Earnings could be volatile," she said Friday on CNBC's "Trading Nation. "But according to Fernandez, a long-term bull, a setback would likely be short-lived. "We do think that the trend will be higher in the markets," she said. "[Investors] feel like the Fed has their back, and so the markets are continuing to run on that."On Friday, the major indexes saw all-time intraday highs and fresh record closes. Since the be...
Electric cars ‘will not solve transport problem,’ report warns

Electric cars ‘will not solve transport problem,’ report warns

Science
Car use will still need to be curbed even when all vehicles are powered by clean electricity, a report has said.It warns that electrifying cars will not address traffic jams, urban sprawl and wasted space for parking.The Centre for Research into Energy Demand Solutions (CREDS) report calls on the government to devise a strategy allowing people to have a good standard of living without needing a car.The government said it was spending £2bn to promote walking and cycling. It also says it plans to spend £50bn on improving roads. However, critics accuse the government of not having a serious plan to deal with the social problems associated with mass car ownership.CREDS is an academic consortium of more than 80 academics across the UK."Car use is a massive bli