Wall Street ‘Nirvana’ Nears as Fed Fuels 2021-Style Risk Rally

The Federal Reserve poured fresh fuel on the Wall Street rally this week, pushing September toward the broadest cross-asset surge since the 2021 frenzy — with fear in retreat and greed unleashed.

An interest-rate cut meant to cushion the weakening labor market might once have sparked caution. Instead, it lit a fire under the risk complex, with the likes of junk bonds and shares of unprofitable tech firms advancing. Global equities hit record highs, while credit spreads tightened to levels last seen in 1998.