The S&P 500 ended Tuesday near the flatline after hitting a record high as the market awaited the Federal Reserve’s key interest rate cut decision.
The Dow Jones Industrials index fell from peak levels by 15.9 points to 41,606.18
The much broader index eked up 1.49 points to 5,634.58, after touching an all-time high.
The NASDAQ recovered 35.93 points to 17,628.06, down from its highs of the day.
The fresh records for the S&P 500 and the Dow come during a historically tough period for the market. September has been the worst month for the benchmark over the past 10 years, averaging a 1.3% monthly loss.
Intel shares jumped 2.7% after the company said it plans to make its foundry business a subsidiary. The Biden administration also awarded the company up to $3 billion in funding through the CHIPS Act.
The latest retail sales data indicated solid consumer health. Retail sales rose 0.1% in August versus economists’ estimates for a 0.2% decline, according to Dow Jones. Excluding autos, the number also came in at a 0.1% increase, which slightly missed the 0.2% consensus forecast.
While a 50-basis-point cut isn’t out of the question, the chief global strategist thinks that the Fed should take a more cautious approach to cutting and ease rates by 25 basis points. She is forecasting additional 25-basis-point cuts in November and December.
Prices for the 10-year Treasury sagged, lifting yields to 3.65% from Monday’s 3.62%. Treasury prices and yields move in opposite directions.
Oil prices gained $1.19 to $71.28 U.S. a barrel.
Gold prices swooned $13.60 to $2,595.30.
