Wall Street pauses before Fed decision after Apple rally By Reuters



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© Reuters. Traders work on the ground at the NYSE in New York

By Shreyashi Sanyal and Sruthi Shankar

(Reuters) – The main Wall Street indexes ended their impact Wednesday on a rally led by Apple, the position close to its record, in anticipation of the latest announcement of the US Federal Reserve.

Shares of the iPhone maker jumped 6.6% after the company's quarterly results surpassed Wall Street's estimates, despite a record drop in the iPhone's business figure. The company also announced plans to buy back $ 75 billion of shares and increased its cash dividend by 5%.

The technology sector grew by about 0.87%, with very strong shares, Amazon.com Inc. (NASDAQ :), Netflix Inc. (NASDAQ 🙂 and Facebook Inc (NASDAQ 🙂 up 0.4% to 3.5%.

The S & P 500 opened a new record, but peaked as investors sidelined on the eve of the Fed's policy statement at 14:00. AND.

"It's a bit difficult for markets to climb or fall a lot during one of the busiest weeks for catalysts, with 150 S & P 500 companies reporting, the Fed meeting this afternoon so you tend to wait a bit, "said Art Hogan, chief market strategist at National Securities in New York.

Much is expected of the central bank maintaining its unchanged borrowing costs and maintaining a "patient" monetary policy, despite President Donald Trump's call for lower rates.

The national employment report from ADP indicated that private employers recruited 275,000 in April, far exceeding economists' expectations and the highest since last July, indicating a national labor market. solid.

The private survey is ahead of the government 's highly anticipated job report released Friday, which is expected to show fewer job additions last month compared to March.

"The situation in the United States is a little in a situation of stopping points, not too hot or too cold, giving the Fed a little more leeway to stay stable for the rest of 2019" said Mike Zarembski, senior director Charles Schwab (NYSE 🙂 Futures.

The financial services sector, which generally benefits from a rising interest rate environment, lost 0.66% and S & P banks 0.91%.

At 12:54 ET was up 1.93 points, or 0.01%, to 26,594.84, the S & P 500 down 2.09 points, or 0.07%, to 2,943.74 and the increase of 18.04 points, or 0.22%, to 8 113.42.

Analysts are now more optimistic about first-quarter earnings growth and expect a 0.5% rise from a 2% decline estimated in early April, according to Refinitiv data.

Of the 305 companies in the S & P 500 that have published a report to date, 76% have exceeded Wall Street estimates.

CVS Health Corp. (NYSE 🙂 grew 5.3% after pharmacy chain operator and pharmacy benefits manager raised earnings guidance for the full year after posting a quarterly profit record .

Hilton Worldwide Holdings jumped 6.3%, the largest number among the S & P 500 companies, after the hotel operator published a quarterly turnover higher than analysts' expectations.

Energy stocks fell 0.98%, weighing the most on the S & P 500, while oil prices hit the trough of a session after an unexpected rise in inventories.

Falling issues outnumbered defenders for a ratio of 1.17 to 1 on the NYSE and a ratio of 1.46 to 1 on the Nasdaq.

The S & P index recorded 42 new highs over 52 weeks and two new lows, while the Nasdaq recorded 77 new highs and 39 new lows.

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