Equities end lower as valuation concerns creep in

US stocks closed lower for a second straight session on Wednesday, as investors booked profits with indexes near record levels after Federal Reserve Chair Jerome Powell flagged potentially stretched stock prices and ahead of a reading on inflation later in the week. Investors are trying to gauge the trajectory of rate cuts from the central bank as it attempts to buttress an economy that has shown signs of a flagging labor market without stoking inflation. With each of the three major indexes, along with the small-cap Russell 2000, closing at record highs simultaneously for the first time in years earlier this week, Powell said on Tuesday that asset prices appeared fairly highly valued. As his colleagues staked out arguments on...