Debt Ceiling Talks and Fed Policy Anticipation Weigh on Stock Market

Stock traders remain mostly sidelined as talks on whether to raise the US debt ceiling and prevent a historic default resume. The S&P 500 fell for the third time in four days, while tech megacaps outperformed. Treasury Secretary Janet Yellen warned that "time is running out" to avert an economic catastrophe from failing to raise the debt ceiling. The sentiment among global fund managers deteriorated to the most bearish this year, with 65% of survey participants now expecting a weaker economy, according to Bank of America Corp.'s latest survey.