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US-STOCKS-MARKETS
US stocks end mixed ahead of Fed decision
NEW YORK, Sept 26, 2018 (BSS/AFP) – Wall Street stocks finished mixed
ahead of a Federal Reserve announcement expected to shine light on the
central bank’s thoughts on future interest rate hikes.
The Dow Jones Industrial Average dropped 0.3 percent to 26,492.34.
The broad-based S&P 500 shed 0.1 percent to 2,915.58, while the tech-rich
Nasdaq Composite Index gained 0.2 percent to 8,007.47.
Analysts view the Fed as almost certain to lift interest rates again on
Wednesday but are watching for the US central bank’s outline of additional
interest rate hikes down the road.
US economic data remains good, with the Conference Board reporting a jump
in consumer confidence in September to a near-18-year high.
Analysts told AFP the central bank was unlikely to signal a change in the
pace of interest rate increases but that this could change in the near term,
as policymakers take a more hawkish view of trends in inflation.
“They are going to raise rates in September and probably going to give the
signal that they going to raise rates in December,” David Wessel of the
Brookings Institution, told AFP.
“Where it gets interesting, and there is a lot of uncertainty, is what
happens after that.”
Among individual shares, General Electric plummeted 4.1 percent on
lingering questions about its prospects following a glitch with electricity
turbines that temporarily led to outages at two plants in Texas.
Michael Kors Holdings rose 2.0 percent after announcing it was buying
Italian fashion house Versace for $2.1 billion and saying it would rename
itself Capri Holdings.
Fast food chain Sonic surged 18.7 percent after announcing it agreed to be
bought by Inspire Brands for $2.3 billion.
BSS/AFP/HR/0948