Stark Reality May Dash Rate-Cut Rally

The Federal Reserve briefly ignited the stock market with interest rate cuts last week, but concerns the United States still might face a harsh economic winter will send a chill through Wall Street in days ahead. Stocks are likely to fall on worries the central bank already may be too late to keep dwindling growth from crunching corporate profits. Traders are wringing their hands as they await this year’s first major earnings reports, and they will scrutinize economic data for signs of the economic slowdown. This week, fourth-quarter earnings start to trickle in. Alcoa, aluminum giant and Dow 30 stalwart, kicks off the week today with its quarterly earnings statement. On Wednesday, after the close of trading, Motorola Inc. reports its fourth-quarter results. In December, the world’s No. 2 mobile phone maker sent ripples through the high-tech industry when it said its quarterly profits would fall about 40% below earlier estimates. Internet media giant Yahoo Inc. also reports its fourth-quarter earnings Wednesday.