While most are expecting the Fed funds target range to be held amid mixed USA economic reports recently, investors will parse the statement for clues on the chances of a rate hike in June.
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The Dow Jones Industrial Average dropped 90 points, or 0.5%, to 17,913, as United Technologies Corp. and Chevron Corp. emerged as the biggest decliners.
Heading into the new week, both the Dow and S&P 500 were still flirting with new all-time highs, with both closely followed indexes within 2% of a new record.
A renewed selloff in oil prices also weighed on markets, as crude oil CLM6, -0.80% struggled to maintain its grip on the $43 handle. Futures for the Nasdaq 100 index lost 5.75 points, or 0.1%, to 4,460.
The Federal Open Market Committee, or FOMC, will announce its latest rate decision after a two-day meeting on Wednesday.
He expects two rates hike from the Fed this year.
CENTRAL BANKS: Central bank policy meetings in Japan and the USA are the focus of investors’ attention.
Data: New home sales for March are due at 10 a.m. Eastern Time, and forecast to have risen to 518,000 from 512,000 in February (http://www.marketwatch.com/story/new-home-sales-rise-20-to-annual-rate-of-512000-in-february-2016-03-23), according to economists polled by MarketWatch.
Jack Ablin, chief investment officer at BMO Private Bank, said investors are probably nervous ahead of Thursday’s report on first-quarter USA gross domestic product that could show very sluggish growth.
Tech Earnings: Major tech companies will be reporting their quarterly earnings this week including Apple, Amazon, Facebook, and Twitter.
Express Scripts Holding Co.(ESRX) and Pioneer Natural Resources Co.(PXD) are among companies slated to release results after the bell.
Apple shares have been under pressure at times in the last couple of weeks on reports that iPhone sales are slowing.
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The Dow is up 552.21 points, or 3.2 percent. On the other hand, Wipro was up 0.08%. European equities moved down amid weak investor sentiment across the world.
