Impending Fed Minutes May Lead To Choppy Trading On Wall Street

Market Overview - Major U.S. index futures indicate a flat open on Tuesday, with stocks lacking direction after previous session weakness [1] - Traders are hesitant to make significant moves ahead of the Federal Reserve's monetary policy meeting minutes release [1][2] Federal Reserve Insights - The minutes from the Fed's December meeting may reveal differing views on the likelihood of further rate cuts in the new year [2] - Interest rates are expected to remain unchanged at the next meeting in late January, but a quarter-point reduction is anticipated by the end of 2026 [2] Stock Market Performance - Major averages ended the previous day in negative territory, with the Dow down 249.04 points (0.5%) to 48,461.93, the Nasdaq down 118.75 points (0.5%) to 23,474.35, and the S&P 500 down 24.20 points (0.4%) to 6,905.74 [4] - The pullback may reflect profit-taking as traders cash in on recent gains before year-end [4] Economic Indicators - Pending home sales in the U.S. increased by 3.3% in November to an index of 79.2, following a revised 2.4% increase in October [6] - Economists had expected a smaller increase of 0.8% for pending home sales [7] Sector Performance - Gold stocks experienced significant weakness, with the NYSE Arca Gold Bugs Index dropping by 5.7% after reaching a record high [7] - Airline stocks also showed weakness, with the NYSE Arca Airline Index down by 1.6% [7] - Computer hardware, steel, and banking stocks faced notable declines, while oil producer stocks rose due to a spike in crude oil prices [8] International Market Sentiment - Asian markets displayed mixed sentiment as they prepare for year-end, with a focus on geopolitical developments [11] - The Shanghai Composite Index closed just below unchanged, while the Shenzhen Component Index gained 0.5% [12] - European stocks were broadly higher, with the French CAC 40 Index up by 0.5% and the German DAX Index and U.K.'s FTSE 100 Index both up by 0.6% [17][18]