S&P 500 Overcomes Fading Risk-On Rally to Hit New Record High

Traders work on the floor of the New York Stock Exchange.

Photographer: Michael Nagle/Bloomberg

US stocks pushed on to fresh record highs Wednesday, gaining steam into the close on growing conviction that the Federal Reserve will start cutting interest rates again next month.

The S&P 500 Index closed with a 0.3% advance, bouncing back after the rally briefly fizzled mid-day. The Nasdaq 100 Index was little changed but managed to find its way into the green to finish at a record. Meanwhile, the small-cap Russell 2000 Index gained 2.0%.