Morgan Stanley, JPMorgan See Stock Rally Stalling After Fed Cut

Top Wall Street strategists said the record-setting US stock rally risks temporarily running out of steam after an expected Federal Reserve interest-rate cut this week.

Strategists from Morgan Stanley, JPMorgan Chase & Co. and Oppenheimer Asset Management warned that a more cautious tone may replace the bullish mood as investors focus instead on a potential economic slowdown.

Expectations of Fed easing have provided much of the latest impetus for the S&P 500, which is near a record high. Concerns are increasing, though, that a 25 basis-point cut on Wednesday won’t go far enough to address a slowing US labor market. ...