The Dow Jones Industrial Average fell 83.18 points, or 0.34 percent, to 24,664.89, the S&P 500 lost 15.51 points, or 0.57 percent, to 2,693.13 and the Nasdaq Composite dropped 57.18 points, or 0.78 percent, to 7,238.06. The pan-European FTSEurofirst 300 index rose 0.02 percent and MSCI's gauge of stocks across the globe shed 0.25 percent. (Picture shows: Traders working on the floor of the New York Stock Exchange in the Manhattan borough of New York City, New York, U.S., April 19, 2018. - Reuters
NEW YORK: Wall Street made modest gains on Tuesday while the U.S. dollar rose slightly against a basket of major currencies, with only muted impact from the long-awaited U.S.-North Korea summit aimed at denuclearizing the Korean peninsula.
Investors were more focused on the start of a two-day policy meeting of the Federal Reserve, looking for hints as to whether the U.S. central bank would move to raise rates three or four times this year.
"I don't think (the Fed) is going to say anything particularly related to a rate hike in December," said Robert Pavlik, chief investment strategist and senior portfolio manager at SlateStone Wealth LLC in New York. "If they say a little too much about inflation, that's going to give the market a reason to get concerned."
The Dow Jones Industrial Average fell 1.58 points, or 0.01 percent, to 25,320.73, the S&P 500 gained 4.85 points, or 0.17 percent, to 2,786.85, and the Nasdaq Composite added 43.87 points, or 0.57 percent, to 7,703.79.
Twitter Inc
After the closing bell, AT&T
The dollar index <.DXY> rose 0.24 percent, steadied in part by data showing that U.S. consumer prices increased in May amid a slowdown in the rise of gasoline costs.
The euro
SUMMIT SHRUGGED OFF
U.S. President Donald Trump and North Korean leader Kim Jong Un met in Singapore, pledging to work toward complete denuclearization, while Washington committed to providing security guarantees for its old enemy.
The MSCI all-country world index <.MIWD00000PUS>, which tracks shares in 47 countries, gained 0.06 percent.
Investors had mixed reactions to the summit, which ended with the signing of a joint statement that gave few details on how the goals set by both sides would be achieved.
"Any de-escalation is good," said Ian Ormiston, a European fund manager with Old Mutual Global Investors.
Others felt the sit-down between Trump and Kim did little to change the game.
"This is more of a case of 'we'll believe it when we see it,' rather than actually reacting," said Brad McMillan, chief investment officer for Commonwealth Financial in Waltham, Massachusetts.
Investors were more focused on the Fed meeting and policy meetings later in the week of the European Central Bank and the Bank of Japan, as well as the positive U.S. inflation data.
The Fed is expected to raise interest rates at the close of its meeting on Wednesday.
“We’re eagerly awaiting the Fed, the ECB and the BOJ, in that order," said Gregory Anderson, global head of FX strategy at BMO Capital Markets in New York. "People are reluctant to do a whole lot ahead of that."
Benchmark 10-year U.S. Treasury notes
The 30-year bond
U.S. crude
In Europe, the regional FTSEurofirst 300 index <.FTEU3> lost 0.02 percent, and the spread between Italian and German 10-year borrowing costs narrowed as the U.S.-North Korea summit drew to a close, following a rally on Monday after reassuring comments from Italy's new economy minister.
The European Central Bank meets on Thursday, with some expecting it to provide guidance for ending its bond-buying program at the end of this year. - Reuters
Win a prize this Mother's Day by subscribing to our annual plan now! T&C applies.
