U.S. stocks drifted lower Wednesday ahead of an expected interest-rate cut by the Federal Reserve. Moves in the stock market have been relatively muted this week, even as worries about disrupted oil production and the overnight funding markets have dominated conversations among money managers. Later Wednesday, investors' attention will turn to the Fed, which is set to wrap up its two-day policy meeting and deliver its latest interest-rate decision.
* Oil price stabilises as Saudi Arabia restores supply. * Treasury yields slip; dollar rises vs yen. * Wall St edges lower as FedEx (FDX) profit warning hurts. By Saqib Iqbal Ahmed. Stocks around the world edged lower on Wednesday and the U.S. dollar crept up as investors waited for the U.S. Federal Reserve's decision on interest rates later in the day.
U.S.-focused index equity funds make up nearly 14% of the American stock market, up from roughly 7% in 2010. Money managers that mimic the stock market just became the new titans of the fund-management world. Funds that track broad U.S. equity indexes hit $4.27 trillion in assets as of Aug. 31, according to research firm Morningstar Inc., giving them more money than stock-picking rivals for the first-ever monthly reporting period.
U.S. stocks edged slightly lower at the opening bell Wednesday, as investors awaited the conclusion of a Federal Reserve policy meeting that's expected to deliver another quarter-point rate cut. The Dow Jones Industrial Average was down 88 points, or 0.3%, to 27,023, while the S&P 500 lost 9 points, or 0.3%, to trade at 2,997. The Nasdaq Composite declined 19 points, or 0.2%, to 8,167. While the Fed is expected to cut rates when it concludes its meeting, investors will be watching for...
Not all U.S. rate-cutting cycles are created equal, at least when it comes to how the stock market reacts. The Federal Reserve is expected to lower interest rates when it issues its policy statement on Wednesday at the close of a two-day meeting.
--Repo markets calm after intervention. --U.S. stock futures edge down. Global stocks paused ahead of an interest-rate decision from the Federal Reserve, amid political tensions and a volatile week for oil prices.
--Repo markets calm after intervention. --U.S. stock futures edge down. Global stocks paused ahead of an interest-rate decision from the Federal Reserve, amid political tensions and a volatile week for oil prices.
The British pound came under pressure Wednesday as inflation data grew softer than forecast in August. U.K. consumer prices slowed to 1.7% year-over-year growth in August from 2.1% in July, the Office for National Statistics said Wednesday. Economists polled by FactSet expected a 1.9% rise.
Not all U.S. rate-cutting cycles are created equal, at least when it comes to how the stock market reacts. The Federal Reserve is expected to lower interest rates when it issues its policy statement on Wednesday at the close of a two-day meeting.
Japan's Nikkei share average slipped on Wednesday as investors took profits after a 10-day rally ahead of key central bank meetings in the United States and Japan, but continued to hover not far from its four-month high touched a day earlier.
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