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Strong show by Caterpillar, McDonald's has S&P at record high, Nasdaq drags

The Nasdaq Composite was down 13.74 points, or 0.21%, at 6,397.07

Reuters 

McDonald's India to double outlets with Rs 750-cr investment
S&P index has been best performing sector this year & earnings from big tech companies will be closely watched

A set of strong from companies, including and McDonald's, lifted the Dow and drove the to a record high, but the tech-heavy was dragged lower by losses in parent Inc.

of McDonald's surged 5 percent after the fast-food giant posted the biggest rise in sales at established globally in five years.

Caterpillar's rose 4.1 percent after the company reported quarterly results that smashed expectations and raised its full-year outlook for the second time this year.

However, fell 2.6 percent, after the tech giant warned that expenses would remain high as more searches shift to

The S&P tech index has been the best performing sector this year and from big tech will be closely watched to see if the rally has legs.

and Facebook, part of the high-flying "FANG" stocks, report results later this week, while Apple is due to report next week.

are expected to have climbed 8.8 percent in the second quarter, compared with an 8 percent rise estimated at the start of the month, according to Thomson Reuters I/B/E/S.

Advanced Micro Devices, AT&T, Chipotle and Chubb are among the major that report after the closing bell.

"Investors will have a lot to chew on today as results include at least 12 major companies," said Peter Cardillo, chief market economist at First Standard Financial.

"We look for another mixed session as the meeting begins and the health care vote comes into play."

At 9:37 a.m. ET (1337 GMT), the Dow Jones Industrial Average was up 133.09 points, or 0.62 percent, at 21,646.26 and the was up 7.15 points, or 0.28 percent, at 2,477.06.

The Composite was down 13.74 points, or 0.21 percent, at 6,397.07.

Eight of the 11 major S&P sectors were higher, with the financial index's 1.45 percent rise leading the gainers.

The Fed kicks off a two-day meeting later in the day to discuss its monetary stance and the timing of its long-awaited balance sheet reduction.

While no rate hike is expected due to subdued inflation, the central bank's statement on Wednesday will be parsed for clues on the pace of future rate hikes.

Investors will also be keeping an eye on a Senate vote on a healthcare bill, with lawmakers voting on whether to push forward with repealing Obamacare or perhaps abandon it entirely.

DuPont was up 2.3 percent after beating estimates for profit and results.

Eli Lilly was down 3 percent, while 3M fell 4.3 percent after reporting results.

Advancing issues outnumbered decliners on the NYSE by 1,805 to 751. On the Nasdaq, 1,429 issues rose and 869 fell.

First Published: Tue, July 25 2017. 21:10 IST
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