Dow stocks decline amid economic data ahead of FOMC decision

US stocks showed mixed performance on Tuesday, with the Dow Jones Industrial Average reversing higher in midday trades as investors awaited a slew of Big Tech earnings and a Fed rate decision.

Financial stocks, including JPMorgan Chase, Visa, American Express, and Goldman Sachs, lifted the index. The S&P 500 also inched higher on the stock market, with financials and materials gaining while technology and real estate fell. The Nasdaq continued to lag the other indexes and fell 0.4%.

In economic news, the Case Shiller Home Price Index rose 0.1% across 20 U.S. cities, lower than estimates for 0.4% for November. The Federal Housing Finance Agency Home Price Index rose 0.3% and met views. The Conference Board released consumer confidence numbers for January, with the board’s reading coming in at 114.8, ahead of forecasts for 114.

In employment news, the Labour Department’s Job Openings and Labour Turnover Survey showed there were 9 million jobs available for December, with economists expecting 8.7 million. On Wednesday, the Fed’s rate decision and Fed Chair Powell’s remarks are on watch, with chances of a 25 basis point cut in March standing at 44.7%.

Among Dow Jones components, Microsoft was flat as it prepares to release fiscal second-quarter earnings later in the day. Boeing fell 2% further in a downtrend with fourth-quarter earnings expected Wednesday. Apple lost 1.6% and slipped below its 50-day moving average in a flat base with a buy point of 199.62. Apple is due to report fiscal first-quarter earnings on Thursday.

Alphabet is due to report at market close, while Meta Platforms rose fractionally and is due to report earnings on Thursday. OpenText and Atlassian are also expected to report results on Thursday. Super Micro Computer (SMCI) gave up some of its hefty early gains after earnings late Monday but was up 2.6% in recent action.

United Parcel Service plunged nearly 8% on a dim 2024 outlook and lower Q4 sales. Pharmaceutical giant Pfizer (PFE) sank 0.7% despite a surprise gain in fourth-quarter profits. Azek has broken out of a flat base with a buy point of 39.04, and Federal Signal is just above a buy point of 78.54 in a flat base.