US open: Stocks mixed as traders brace for key Fed rate decision

(Sharecast News) - Wall Street trading got off to a mixed start on Wednesday as traders awaited a key Federal Reserve rate decision that could mark the start of a fresh tightening phase over the coming months. As of 1515 BST, the Dow Jones Industrial Average was down 0.14% at 52,018.43, while the S&P 500 advanced 0.36% to 7,612.68 and the Nasdaq Composite came out of the gate 0.68% firmer at 26,158.74.

The Dow opened 74.68 points lower on Wednesday, extending losses recorded in the previous session as traders awaited this week's Federal Reserve decision and another jump in Treasury yields weighed on sentiment.

However, stocks traded slightly higher early on Wednesday as markets began to price in a quarter‑point hike with roughly 92% probability, according to CME's FedWatch tool, with additional increases in October and December still seen as possible. The Fed will announce its decision at 1900 BST, which comes against pressure from the White House to keep rates unchanged.

Energy markets also remained in focus, with US diesel hitting $6 a gallon for the first time amid supply strains linked to the Ukraine and Iran conflicts. Crude prices also held above $100 a barrel, while Treasury yields eased slightly despite expectations of persistent inflation, with the benchmark 10‑year note at 4.976% and the 30‑year at 5.350%.

Elsewhere on the macro front, US mortgage applications fell 4.1% in the second week of September, according to the Mortgage Bankers Association, extending the 2.7% decline seen previously and marking the sharpest drop in seven weeks. The fall came as the 30‑year fixed mortgage rate jumped to a 16‑month high of 6.97%. Applications to refinance a mortgage slid 9%, while applications to purchase a home edged 1% lower, reflecting softer demand against a backdrop of rising borrowing costs and uncertainty over future property disposals.

Elsewhere, import and export prices both rose in August, with the latest Bureau of Labor Statistics data showing broad‑based strength across goods. Import prices increased 0.7% on the month, driven by a 0.8% rise in non‑fuel imports, while fuel prices dipped 0.1% as lower natural‑gas costs offset a small uptick in petroleum. Import prices were 7% higher year‑on‑year, the fastest annual increase since August 2022, with gains led by industrial supplies, capital goods and consumer goods.

Export prices rose 0.6%, rebounding after declines in June and July, with agricultural export prices up 0.5%, supported by higher corn and animal‑feed prices, while non‑agricultural export prices climbed 0.7% on stronger industrial supplies, capital goods and automotive products. Export prices were 8.6% higher than a year earlier, with both agricultural and non‑agricultural categories contributing to the rise.

On another note, retail sales rose more strongly than expected in August, rebounding after July's first decline in nine months and underscoring resilient consumer demand despite mounting concerns over inflation. The Census Bureau reported on Wednesday that sales jumped 1.2% last month, following a revised 0.5% drop in July, driven by stronger motor‑vehicle purchases and back‑to‑school spending. Economists had pencilled in a 0.8% increase.

Still on data, business sales edged higher in July, while inventories continued to build, according to Census Bureau data. The combined value of manufacturers' shipments and distributive‑trade sales rose 0.3% to $2.12trn, leaving sales 8.9% above year‑earlier levels. Inventories increased 0.8% on the month to $2.76trn, up 3.8% from July 2025. The business inventories‑to‑sales ratio eased to 1.30, down from 1.37 a year earlier, indicating leaner stock levels relative to sales.

Finally, homebuilder confidence weakened in September, with the NAHB/Wells Fargo housing market endex slipping to 32, its lowest reading in a year, down from 35 in August and below expectations for 34. Current sales conditions fell four points to 35, while sales expectations for the next six months dropped six points to 37. The survey also showed 38% of builders cut prices during the month, up from 35% in August, reflecting softer demand and ongoing affordability pressures.

In the corporate space, Lennar will report earnings after the close.





Reporting by Iain Gilbert at Sharecast.com

Dow Jones - Risers

Intel Corp. (INTC) $101.43 1.89% Walt Disney Co. (DIS) $107.26 0.91% Unitedhealth Group Inc. (UNH) $379.24 0.86% Caterpillar Inc. (CAT) $787.91 0.61% Home Depot Inc. (HD) $307.15 0.59% 3M Co. (MMM) $165.27 0.47% Travelers Company Inc. (TRV) $379.56 0.43% Apple Inc. (AAPL) $333.56 0.39% Nike Inc. (NKE) $36.24 0.32% Procter & Gamble Co. (PG) $147.04 0.27%

Dow Jones - Fallers

International Business Machines Corporation (CDI) (IBM) $241.46 -2.51% American Express Co. (AXP) $316.22 -2.21% Microsoft Corp. (MSFT) $495.05 -2.15% Chevron Corp. (CVX) $214.14 -1.61% McDonald's Corp. (MCD) $249.14 -1.35% Dow Chemical Co. (DOW) $29.49 -1.14% Salesforce.Com Inc. (CRM) $254.95 -0.52% Goldman Sachs Group Inc. (GS) $969.01 -0.48% Coca-Cola Co. (KO) $88.36 -0.40% JP Morgan Chase & Co. (JPM) $350.62 -0.38%

S&P 500 - Risers

Illumina Inc. (ILMN) $229.16 8.98% Capri Holdings Limited (CPRI) $14.76 4.48% Revvity, Inc. (RVTY) $145.03 4.01% Oracle Corp. (ORCL) $145.48 4.00% Advanced Micro Devices Inc. (AMD) $524.08 3.58% F5 Inc. (FFIV) $431.02 3.34% Arista Networks Inc. (ANET) $199.47 3.30% Ipg Photonics Corp. (IPGP) $77.52 3.30% Skyworks Solutions Inc. (SWKS) $87.07 3.03% CenturyLink Inc. (LUMN) $6.97 3.00%

S&P 500 - Fallers

J.B. Hunt Transport Services Inc. (JBHT) $239.18 -11.68% Coterra Energy Inc. (CTRA) $32.56 -8.62% Diamondback Energy Inc. (FANG) $195.14 -6.89% Intuit Inc. (INTU) $322.32 -4.73% Jack Henry & Associates Inc. (JKHY) $157.35 -4.38% Western Union Co. (WU) $6.58 -4.01% Eog Resources Inc. (EOG) $147.49 -3.93% ConocoPhillips (COP) $135.90 -3.84% Occidental Petroleum Corp. (OXY) $61.02 -3.74% Equity Residential (EQR) $63.66 -3.50%

Nasdaq 100 - Risers

Illumina Inc. (ILMN) $229.88 8.98% Skyworks Solutions Inc. (SWKS) $87.44 3.03% Trip.com Group Limited (TCOM) $39.84 2.72% Gilead Sciences Inc. (GILD) $147.19 2.49% Western Digital Corp. (WDC) $425.57 2.32% Intuitive Surgical Inc. (ISRG) $381.56 2.19% Seagate Technology Plc (STX) $789.08 2.06% Intel Corp. (INTC) $101.44 1.89% Asml Holdings N.V. (ASML) $1,611.88 1.74% KLA-Tencor Corp. (KLAC) $171.08 1.65%

Nasdaq 100 - Fallers

Qvc Group Inc Series A (QVCGA) $0.34 -13.49% J.B. Hunt Transport Services Inc. (JBHT) $238.28 -11.68% Intuit Inc. (INTU) $322.53 -4.73% Mercadolibre Inc. (MELI) $1,815.68 -3.61% Adobe Systems Inc. (ADBE) $253.12 -3.28% Take-Two Interactive Software Inc. (TTWO) $213.26 -3.16% Workday, Inc. (WDAY) $188.96 -2.90% Baidu Inc. (BIDU) $89.04 -2.81% Ross Stores Inc. (ROST) $223.41 -2.42% DENTSPLY Sirona Inc. (XRAY) $9.98 -2.25%