US STOCKS-Wall Street remains mixed after Fed announcement

Published 16/12/2020, 20:14
Updated 16/12/2020, 20:18
© Reuters.

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* Fed promises to keep bond purchases going
* Indexes: Dow -0.35%, S&P 500 -0.05%, Nasdaq +0.14%


(ReaUpdates following Fed announcement)
By Noel Randewich and Karen Pierog
Dec 16 (Reuters) - Wall Street was mixed on Wednesday, with
the Nasdaq hitting a record high as investors awaited a
potential fiscal economic stimulus package after the Federal
Reserve repeated a pledge to keep its benchmark interest rate
near zero.
The S&P 500 turned slightly negative after the Fed promised
to keep funneling cash into financial markets to fight the
recession, even as policymakers' outlook for next year improved
following initial rollout of a coronavirus vaccine. Gains in tech stocks, many of which have benefited from
changes in consumer habits because of the pandemic, pushed the
Nasdaq to a record high before it trimmed its gains.
Investor sentiment has oscillated in recent sessions between
optimism about the early distribution of a COVID-19 vaccine and
worries about record infection rates in the United States.
Despite the pandemic, the S&P 500 has climbed over 14% in 2020.
U.S. congressional negotiators were "closing in on" a $900
billion COVID-19 aid bill that will include $600 to $700
stimulus checks and extended unemployment benefits, and Congress
could start voting within 24 hours, lawmakers and aides said.
Data showed U.S. retail sales fell 1.1% last month from
October, as new coronavirus infections and decreasing household
income weighed on spending. The Dow Jones Industrial Average .DJI was down 0.35% at
30,094.38 points, while the S&P 500 .SPX lost 0.05% to
3,692.8.
The Nasdaq Composite .IXIC added 0.14% to 12,612.09.

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