The Nasdaq closed at a record level on Tuesday, while the S&P 500 and the Dow edged up after weak services data raised doubts about the ability of the USA economy to absorb a rate hike.
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The technology index rose 0.2 percent and hovered near its highest level since 2000, after Facebook hit a record high on a Morgan Stanley upgrade.
Western Digital jumped nine per cent and was among the top percentage gainers on the S&P and the Nasdaq after the company raised its profit forecast for the first quarter.
USA stocks on Wednesday struggled to make substantial headway as investors braced for a duo of Federal Reserve speakers and a key report on economic conditions, which could help gauge the Fed’s next steps on US interest rates.
Analysts say the Federal Reserve has been prepping the markets for a possible hike in December.
Traders have priced in a 15 per cent chance of a hike when the Fed meets later this month and a 45.7 per cent chance of a move in December, according the CME Group’s FedWatch too.
USA markets have been trading in a tight range in the past few months, with the S&P 500 not moving more than 1 percent in either direction on a daily basis since July 8. The typically defensive sector has risen 7.8 percent this year.
Major European bourses trade modestly higher, with Germany’s DAX +0.5%, France’s CAC +0.4% and U.K.’s FTSE +0.2%; in Asia, Japan’s Nikkei closed -0.4% and China’s Shanghai Composite finished flat.
Investors also were eagerly awaiting a product announcement from Apple Inc.(AAPL) later in the day, where the tech giant is expected to unveil an update to its iPhone roster.
Chipotle CMG.N rose 5.2 percent to $435.51 after activist investor William Ackman’s hedge fund Pershing Square bought a 9.9 percent stake in the burrito chain operator.
The S&P 500 index and the Dow were slightly lower on Wednesday as investors awaited a key report by the Federal Reserve to gauge the health of the US economy.
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Advancing issues outnumbered decliners on the NYSE by 1,598 to 1,223. Futures for the Nasdaq 100 index rose 3.50 points to 4,831.25.
