IF YOU ARE WILLING FOR A RISK-FREE TRADE SO YOU CAN CHOOSE US FOR A GOOD RECOMMENDATIONS AND LET YOURSELF TO TAKE A GOOD ADVANTAGE FROM THE INDIAN STOCK MARKET JUST CLICK HERE AND JOIN US FOR FREE >> http://www.ripplesadvisory.com/free-trial.php
The three major US stock indexes edged higher on Tuesday, logging closing records, with financial stocks providing the biggest boost a day ahead of the Federal Reserve’s concluding statement from its two-day policy meeting.
The US central bank is expected to announce when it will begin paring its bond holdings, and while a September interest rate increase is not expected, investors will closely study Fed Chair Janet Yellen’s views on inflation for clues whether the Fed will raise rates in December.
It seems the market is holding its breath and waiting for what the Fed has to say regarding the economy and any future interest rate hikes.
The market could throw a little bit of a fit if they push (balance sheet reduction) back. It could hurt financials and the overall market might not like the uncertainty.
Six of the 11 major S&P sectors closed higher, with the financial sector’s 0.8 percent gain providing the biggest boost. The sector has risen in seven of the last eight sessions, clocking a 6 percent rise in that time.
If the Fed reduces its balance sheet, investors are betting that would lift yields for longer-term Treasuries, which could boost bank profits.
The Dow Jones Industrial Average rose 39.45 points, or 0.18 percent, to 22,370.8, clocking its sixth straight record close. The S&P 500 gained 2.78 points, or 0.11 percent, to 2,506.65, hitting its fifth record closing high in the last six sessions.
The Nasdaq Composite added 6.68 points, or 0.1 percent, to 6,461.32, also squeaking out a record closing high, slightly above its Sept. 13 close.