Investors await Fed decision

Stocks continue to tread water ahead of tonight's Fed decision, as indices consolidate their gains following April's astonishing rebound, says Chris Beauchamp, Chief Market Analyst at online trading platform IG.

Stocks drift before Fed decision

“Markets are anxious to hear Powell’s views on the economy this evening, and whether the Fed chairman will give any indications that he might cut rates in June, joining other central banks. China’s overnight stimulus moves are likely the kind of thing the president and global investors would like to see from the Fed, but caution will stay Powell’s hand for the time being.”

Oil prices retreat from session highs

“Geopolitical worries have abated to an extent in oil, which had rallied on fears that India and Pakistan would escalate to a full-blown conflict. At present it appears confined to retaliatory strikes, doing damage and inflicting casualties but stopping short of anything more. US-Iran talks have been quiet too, easing fears of a widening conflict in the Middle East.”