Stocks open little changed as Wall Street awaits Fed minutes

Futures show open prices as investors await Fed minutes

US stocks were little changed on Wednesday morning, as investors awaited the minutes of the Federal Reserve’s meeting for clues about the pace of future rate hikes.

The Dow Jones Industrial Average rose 44 points, or 0.13%. S&P 500 futures rose 0.03% and the Nasdaq Composite added 0.11%.

Shares of Nordstrom fell more than 8% on premarket after the department store chain reaffirmed its forecast. However, Nordstrom beat profit and sales expectations in its latest results, according to consensus expectations on Refinitiv. Tesla was up 2.6% in early trading after Citi upgraded the stock from sell to neutral.

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Data on jobless claims were higher than expected at 240,000 for the week ending November 19 while economists expected 225,000, signaling that the labor market could be on the mend. weaken. At the same time, however, durable goods orders for October were stronger than expected, coming in at 1%, 0.5% higher than expected.

Investors are awaiting the minutes of the Fed’s latest meeting, on Wednesday afternoon, for insight into the central bank’s approach to monetary policy ahead of the December meeting.

In early November, the central bank approved a fourth straight 0.75 percentage point increase, taking interest rates to their highest level since 2008. Economists forecast a 0.5 percentage point increase in December and smaller rate hikes next year.

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Wall Street is about to have an upbeat session, with the Dow Jones Industrial Average rising nearly 400 points on Tuesday. The S&P 500 gained 1.36%, closing above 4,000 for the first time since September. Meanwhile, the Nasdaq Composite added 1.36%.

Investors shook off concerns about China’s continued lockdown after the country reported its first deaths from Covid-19 since May. Instead, traders focused on some positive earnings reports and bets on the possibility that the Fed will ease monetary policy in the future.

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Eugene Profit, CEO of Profit Investments, said Tuesday on CNBC’s “Closing Bell: Overtime”: “Investor optimism is driving this market’s recovery.”

“Going into the next Fed meeting, I think the Fed will probably moderate their language a bit and I think investors want to stay optimistic and ignore the many headwinds in the market,” he added. this school”.

Markets will be closed on Thursday for Thanksgiving and will close early on Friday.

Correction: An earlier version of this story was corrected to reflect that Nordstrom reaffirmed its forecast.

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