Wall Street Might Open Higher Ahead Of FOMC Statement

Trading in the U.S. index futures suggest that Wall Street stocks may open Wednesday’s session higher and the FOMC announcement in the afternoon is likely to have a greater say on the market movement. The Fed funds is expected to hold the rate at 1.00 to 1.25 percent range. Asian shares closed mostly higher, while European shares are trading up.

As of 6.30 am ET, the Dow futures were adding 20 points, the S&P 500 futures were progressing 2.25 points and the Nasdaq 100 futures were up 0.50 points.

U.S stocks closed higher, with Nasdaq and S&P 500 reaching new record highs. The Nasdaq inched up 1.37 points or less than a tenth of a percent to 6,412.17, the Dow climbed 100.26 points or 0.5 percent to 21,613.43 and the S&P 500 rose 7.17 points or 0.3 percent to 2,477.08.

On the economic front, the Federal Open Market Committee announcement is expected at 2.00 pm ET. It is expected to hold their federal funds target at a 1.00 to 1.25 percent range with a 1.125 percent midpoint.

The Mortgage Bankers’ Association’s mortgage applications for the week will be published at 7.00 am ET. In the prior week, the composite index was up 6.3 percent, while the purchase index increased 1.0 percent.

The New Home Sales Index for June will be released at 10.00 am ET. The economists are looking for consensus of a growth to 611 K from 610 K in the prior month.

The Energy Information Administration or EIA’s Petroleum Status Report for the week will be published at 10.30 am ET. The previous week’s crude oil inventories were down 4.7 million barrels and gasoline were down 4.4 million barrels.

Two year Floating Rate Note or FRN auction will be held at 11.30 am ET, while five year Note auction will be at 1.00 pm ET. FOMC

In the corporate segment, Thermo Fisher Scientific Inc. raised its revenue guidance to a new range of $19.71 billion to $19.89 billion versus its previous guidance of $19.51 billion to $19.71 billion. This would result in 8 to 9 percent revenue growth over the previous year….

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