Analysts warn of consequences as Fed considers pause amidst stock market struggle.

Analysts warn that a rally in the stock market due to the belief that the Federal Reserve will stop raising interest rates and start cutting them soon may be short-lived. While the Fed may pause before cutting rates again, any quick move to cutting rates will only occur if a dire situation already exists. The S&P 500's performance after the end of past rate hiking cycles shows that the rally fizzles out and stocks are dragged lower as the macro environment deteriorates.