This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Fed Boosts Stocks as Interest Rate Hike Remains Distant

NEW YORK (TheStreet) -- U.S. stocks advanced Wednesday as investors cheered minutes of the Federal Reserve's policy-making arm, which didn't signal a move to raise the benchmark interest rate any time soon.

  • The Dow Jones Industrial Average climbed 0.97% to 16,533.06, while the S&P 500 was 0.81% higher at 1,888.03. The Nasdaq jumped 0.85% to 4,131.54.
  • Minutes from the FOMC's April 29-30 meeting revealed a discussion of the rate hike process, specifically the need for a right mix of policy tools to control rates when normalization begins. There was no indication that the rate-hike discussion meant there would be any action any time soon.
  • Officials noted a lot of slack remaining in the labor market and spoke about downside growth risks include housing, China, and Ukraine and Russia tensions. There were also suggestions that more information on balance sheet plans would be useful for the FOMC to provide.
  • Netflix (NFLX) advanced 5.1% in as it revealed plans to expand into Germany, France and four other European countries later this year.
  • AstraZeneca (AZN) rose 2% after a large investor urged it to reconsider its rejection of a $120 billion takeover offer from Pfizer (PFE).
  • Tiffany (TIF) was the top performer in the S&P 500 gaining 9.2% after its quarterly profit beat estimates.
  • Target (TGT) added 1% after reporting another deep decline in quarterly earnings and after it cut its full-year guidance. The company continues to struggle with customer traffic and the aftermath of the massive data breach during the last holiday season.
  • Lowe's (LOW) was off 0.24% after missing first-quarter earnings per share by 2 cents at 58 cents a share. Revenue arrived above expectations.
  • France's largest bank, BNP Paribas, was shedding 1.32% after reports U.S. authorities are seeking more than $5 billion to settle violations of U.S. sanctions. Credit Suisse (CS) has agreed to pay $2.6 billion in a settlement for helping Americans evade taxes.
  • Traditional tech stocks Cisco (CSCO) and Microsoft (MSFT) were gaining while Twitter (TWTR) slipped 0.06%.
  • Russia struck a $400 billion, 30-year deal to supply China with natural gas through a new pipeline. Russia is turning to China amid rising tensions with the U.S. and European Union due to the Ukraine crisis.
  • Global markets were focused on European parliament elections this week. Overnight, the Bank of Japan maintained its current monetary policy stance. The FTSE 100 was up 0.28% and the DAX was up 0.61%. The Hang Seng finished little changed and the Nikkei 225 closed down 0.24%.


-- By Jane Searle, Andrea Tse and Joe Deaux in New York

>>Read More:

Target's Heart-Wrenching Issues Explained in Two Graphic Photos

5 Undervalued Companies for Enterprising Investors

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,086.63 -26.91 -0.16%
S&P 500 1,987.01 +3.48 0.18%
NASDAQ 4,473.6970 +17.6810 0.40%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs