S&P 500 Rally Pauses Before Fed as Oil Plunges to 3-Month Low

After a sharp early-June selloff triggered by strong jobs data, the S&P 500 has staged a recovery supported by easing Middle East tensions, a blockbuster SpaceX IPO, and improved consumer sentiment. The index climbed back toward record levels with bullish year-end targets from Morgan Stanley and Citigroup, though Bank of America warned of further systematic selling risks on another 3% drop. Markets are now pausing ahead of the Federal Reserve decision, with the S&P 500 slipping 0.6% and crude oil tumbling more than 5% as investors trim risk and rotate out of mega-cap tech.