New York – Wall Street ended Tuesday mixed, with an analyst’s upgrade of General Motors Corp. carrying the Dow Jones industrials to a fresh six-year high and within reach of its best-ever close. Dell Inc.’s profit warning put a dent in the tech sector.
The Dow pressed toward its all-time closing high although investors anxiously awaited the Federal Reserve’s next move on interest rates when policymakers meet today. Many on Wall Street are hoping the Fed will signal that an end to its rate-tightening is near.
Analysts say the Dow is poised to break its record and could push higher.
Ken Tower, chief market strategist for Schwab’s CyberTrader, said investors appeared increasingly optimistic about the market, especially after stocks held on to their sharp gains from the end of last week.
“People became much more bullish on Friday morning, and the fact they didn’t sober up over the weekend is a very positive sign for the market,” Tower said. “Of course, everything depends on the Fed. But at least for the moment, you have to look at the market in a positive light.”
Dell said its first-quarter sales and profit will miss prior estimates, hurt by discounting as it fought to keep pace with competitors. Meanwhile, solid April sales at McDonald’s Corp. were helping the Dow’s advance and countering a rise in oil prices.
The Dow rose 55.23, 0.48 percent, to 11,639.77. The index of 30 blue-chip stocks is 83 points from its all-time closing high of 11,722.98, reached Jan. 14, 2000.
Broader stock indicators finished mixed. The Standard & Poor’s 500 index added 0.48, 0.04 percent, to 1,325.14, and the Nasdaq composite index slid 6.74, 0.29 percent, to 2,338.25.
Bonds drifted lower ahead of the Fed’s meeting, with the yield on the 10-year Treasury note rising to 5.13 percent from 5.11 percent late Monday.
The dollar weakened against the Japanese yen as the market worried about higher interest rates affecting the amount of credit flowing into the U.S. economy.
