Wall Street Waits as Fed Prepares to Hike Interest Rates

Wall Street held steady on Wednesday as investors waited for the Federal Reserve's decision on interest rates. The S&P 500 rose 0.4%, while the Dow Jones Industrial Average was down 34 points, or 0.1%. The Nasdaq composite was 0.8% higher.

The easing of oil prices and bond yields helped stocks. Brent crude fell 2.5% to $106.07, and the yield on the 10-year Treasury dropped to 4.95% from 5.00% late Tuesday.

Despite this, the pressure remains high due to worries about inflation staying high. The Fed is expected to announce its first hike to interest rates since 2023 to combat inflation.

The increase in interest rates would make borrowing more expensive, slowing down the economy and reducing fuel for price increases.