US STOCKS-Wall St higher on uncertainty over Fed's next move
By Rodrigo Campos
NEW YORK, Sept 16 (Reuters) - U.S. stocks were rising on Tuesday with markets reacting to wavering expectations over the language the Federal Reserve will use Wednesday to describe its future interest rate policy.
Major indexes hit session highs in early afternoon, with participants citing a report in the Wall Street Journal as an indication the Fed would be if not dovish, at least less hawkish than some expect.
"Investors are getting squirrelly going into tomorrow's meeting, which we believe is unwarranted," said Chad Morganlander, portfolio manager at Stifel, Nicolaus & Co in Florham Park, New Jersey.
"Any kind of indication via news sources of a more dovish Fed would bode well for risk markets."
The Fed will leave the language mostly intact in the policy statement due Wednesday, the WSJ reported, cutting into expectations of a timeline for rate hikes that could come in sooner than many have expected.
The U.S. dollar weakened against the euro and yen on the report.
The Dow Jones industrial average was rising 101.61 points, or 0.6 percent, to 17,132.75, the S&P 500 was gaining 14.21 points, or 0.72 percent, to 1,998.34 and the Nasdaq Composite was adding 22.17 points, or 0.49 percent, to 4,541.07.
Energy shares continued to lead the market higher as crude prices rose, but utilities, a proxy for investor appetite for dividend payers, were also moving sharply higher. Continuación...