S&P 500 Index opens higher following Tuesday's failed recovery attempt

  • Wall Street’s main indexes trade in the positive territory on Wednesday.
  • Energy stocks push higher on rising crude oil prices.
  • Focus shifts to FOMC’s policy announcements, Summary of Economic Projections.

Major equity indexes in the US, which failed to close in the positive territory on Tuesday, opened modestly higher on Wednesday ahead of the US Federal Reserve’s highly-anticipated monetary policy announcements. As of writing, the S&P 500 was up 0.4% on the day at 4,371, the Dow Jones Industrial Average was gaining 0.48% at 34,083 and the Nasdaq Composite was rising 0.2% at 14,777.

Among the 11 major S&P 500 sectors, the Energy Index is rising 2.5% supported by a 1.2% increase seen in US crude oil prices. On the other hand, the Healthcare Index is the biggest decliner after the opening bell, losing 0.25%.

The FOMC is expected to leave the policy rate unchanged. However, the updated Summary of Economic Projections will provide fresh insights into inflation and rate outlook. A hawkish tone could force Wall Street’s main indexes to lose traction while a dovish outlook is likely to allow stocks to continue to find demand.

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S&P 500 chart (daily)