U.S. Stocks Trade Near Record as Investors Weigh Fed, PoliticsBy
U.S. stocks were little changed, with the S&P 500 Index near a record high, as investors assessed the likelihood of an upcoming interest rate hike by the Federal Reserve, as well as political developments over the long weekend in the U.S.
The S&P 500 Index slipped less than 0.2 percent to 2,410.75 at 9:50 a.m. in New York, while the Dow Jones Industrial Average lost 21 points to 21,062. The S&P 500 inched higher on Friday after data showed the economy grew more than expected in the first quarter.
- Telecom stocks lead in early trading, up 0.7% on gains in Verizon and AT&T
- Energy shares worse performers, down 1% as crude oil drops 1.4%
- Financial shares down 0.4%
- US 10-year yield down 2 bps
- S&P 500 volume 22% below 30-day average at this time
- VIX up to 10.5
- President Donald Trump blasted Germany anew over trade and defense, ratcheting up a dispute with Chancellor Angela Merkel that risks getting personal and undermining a trans-Atlantic bond that is the bedrock of U.S.-European relations
- Trump began his first week back in Washington on Tuesday with news that his communications director is leaving the White House after less than three months on the job
- An increase in interest rates at the Fed meeting is a virtual certainty, Fed fund futures suggest.
- Fed Bank of St. Louis President James Bullard said on Tuesday the U.S. administration will need to fulfill the expectations that have driven the stock market higher.
- After-market Tuesday: None
- Pre-market Wednesday: Michael Kors (KORS), Analog Devivces (ADI)
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