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Wall Street edges higher with focus on Fed

Reuters 

By Sruthi Shankar

(Reuters) - U.S. stocks edged higher on Tuesday, with help from and media stocks, as investors looked past a historic U.S.-summit and focused on the Federal Reserve's policy meeting.

and North Korean leader pledged to work towards complete denuclearization of the Korean peninsula, but their joint statement gave few details on how the goal would be achieved.

While defense stocks such as Raytheon, and took a hit, the broader markets saw little impact.

"Equities are really looking past the trade and geopolitical issues, and the focus is more on fundamentals," said Terry Sandven, chief equity strategist, Management in

At 13:06 ET, the was up 4.86 points, or 0.02 percent, at 25,327.17 and the 500 was up 5.74 points, or 0.21 percent, at 2,787.74.

The was up 45.33 points, or 0.59 percent, at 7,705.26, after hitting an intraday record high.

surged 6.8 percent and was the biggest gainer on the 500, after raised its price target on the stock by $11 to $50, saying it was confident about the company's advertising revenue growth.

A court ruling that would decide the fate of AT&$85 billion offer for is awaited after the closing bell.

jumped 3.1 percent, leading gains on the media index, which was up 0.7 percent.

rose 6.8 percent after raised its estimates for Model 3 deliveries for the second quarter and the full year.

The Fed is widely expected to raise interest rates for the second time this year, when it concludes its policy meeting on Wednesday.

With borrowing costs returning to more normal levels, investors are focused on how the Fed characterizes its monetary policy, while looking for hints if it would move to raise rates three or four times this year.

Data on Tuesday showed U.S. consumer prices rose marginally in May as gasoline price increases slowed and the underlying trend continued to suggest moderate inflation in the economy.

"The macro environment remains in a Goldilocks-like zone, technical trendlines are improving and performance is becoming more broad-based, and that typically presents a favorable backdrop for stocks to trend higher," Sandven said.

Advancing issues outnumbered decliners for a 1.23-to-1 ratio on the NYSE and for a 1.43-to-1 ratio on the Nasdaq.

The S&P index recorded 38 new 52-week highs and two new lows, while the Nasdaq recorded 132 new highs and 21 new lows.

(Reporting by in Bengaluru; Editing by Anil D'Silva)

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Tue, June 12 2018. 23:05 IST
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