Dow edges higher, other major indices down
US stocks finished mixed on Tuesday ahead of the Federal Reserve's interest rate decision, where traders and analysts will be looking for clues on when the central bank could start cutting rates. The Fed is almost certain to keep its key lending rate on hold on Wednesday for a fourth straight meeting, as it continues its fight to return inflation to its long-run goal of two percent. On Wall Street, the Dow Jones Industrial Average rose 0.4 percent to finish at 38,467. The S&P 500 slipped 0.1 percent to 4,924, and the Nasdaq Composite fell 0.8 percent to 15,509. Earlier in the day, fresh data showed that consumer confidence rose to its highest level in January for more than two years, while inflation expectations fell. "I think that if inflation keeps falling and if the economic activity is still strong, this is an ideal economy for the Fed," Cresset Capital chief investment officer Jack Ablin told AFP. "This gives the Fed a lot of elbow room," he added. Among individual stocks, package delivery company UPS saw its share price plunge 8.2 percent after announcing 12,000 job cuts. And the share price of auto giant General Motors rose 7.8 percent after it beat profit targets and announced changes to its lineup to include plug-in hybrid electric vehicles. (AFP)