Wall Street opens with little changed ahead of Fed minutes

U.S. stocks were little changed in late morning trading on Wednesday, recovering from a fall in earlier in the session, as investors await the minutes from last month’s Federal Reserve meeting for clues on when interest rates will be increased.

U.S. 30-year Treasuries bond prices fell, prompted by worries that the Fed possibly had a stronger conviction to raise rates than previously thought.

The minutes of meeting are due at 2:00 p.m. ET (1800 GMT).

While the central bank is broadly expected to raise rates this year, the timing of the move has kept the market on tenterhooks. The Fed has said it will raise rates only when data suggests that the economy is strengthening.

Growth slowed to a crawl in the first quarter, while recent data has painted a mixed picture. Consumption, business spending and manufacturing data has suggested the economy is struggling, but housing starts were strong.

“The Fed is going to take a more macro view and will raise rates this year. They’re going to overlook the little bumps,” said Kim Forrest, senior equity research analyst at Fort Pitt Capital Group in Pittsburgh.

“Markets will react negatively when they do raise rates because they love free money.”

The latest Reuters survey showed most economists were now less sure about when rates would be increased, but the median still suggested a move in the third quarter.