Lower Futures Point To Weak Opening On Wall Street; Fed Policy Eyed

Although lower futures currently point to a weak start for U.S. stocks Wednesday morning, the mood may change positive if some of the data due ahead of the opening bell turn out to be a bit encouraging. However, the focus today is on the Federal Reserve's monetary policy announcement, due later in the day.

The central bank is widely expected to leave interest rate unchanged. The accompanying statement and Fed Chair Jerome Powell's post meeting press conference for clues about future interest rate moves.

Data on manufacturing activity for the month of April, construction spending, private sector employment and U.S. job openings are all due this morning.

In earnings news, Amazon Inc. announced after trading hours on Tuesday that it posted a net income of $10.4 billion in the first quarter of this year, up three times its earnings a year ago. First-quarter sales increased 13% to $143.3 billion, the company said.

Pfizer Inc. repofted first-quarter earnings of $3.12 billion, or $0.55 per share, compared with $5.54 billion, or $0.97 per share, in last year's first quarter. For fiscal 2024, the company projects adjusted earnings in a range of $2.15 to $2.35 per share, up from the prior guidance range of $2.05 and $2.25 per share.

Advanced Micro Devices Inc. reported first-quarter earnings of $123 million, compared with a loss of $139 million in the year-ago quarter.

Stock prices went down south on Wall Street on Tuesday, sliding lower and lower after a weak start, as concerns about inflation and uncertainty about the Fed's interest rate moves rendered the mood bearish.

Investors digested a mixed batch of earnings updates, and some disappointing economic data.

The major averages all ended sharply lower, with the Nasdaq suffering a more pronounced loss. The Dow ended down by 570.17 points or 1.49 percent at 37,815.92. The S&P 500 dropped 80.48 points or 1.57 percent to 5,035.69, while the Nasdaq tumbled 325.26 points or 2.04 percent to settle at 15,657.82.

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