NEW YORK: Wall Street stocks edged higher early Wednesday (Jun 17) as markets looked ahead to Kevin Warsh’s first Federal Reserve decision announcement as chairman and digested data showing increased US retail sales.
Warsh has backed interest rate cuts in the recent past but analysts expect him to join other policymakers in holding rates steady in light of higher inflation due to the Middle East war.
“This is going to be Warsh’s first meeting, so people will closely watch his tone,” said Adam Sarhan of 50 Park Investments.
About 10 minutes into trading, the Dow Jones Industrial Average was up 0.1 per cent at 52,060.99.
The broad-based S&P 500 also gained 0.1 per cent to 7,520.46, while the tech-rich Nasdaq Composite Index rose 0.3 per cent to 26,459.27.
US retail sales rose a greater-than-expected 0.9 per cent in May from April, an increase that reflected greater spending at gasoline stations as energy costs remained elevated amid fallout from the Middle East war.
Oil prices, which have fallen sharply since the United States and Iran announced a peace deal over the weekend, edged higher Wednesday after President Donald Trump threatened to resume bombing on Iran if it doesn’t follow the accord.