Wall Street Mixed As Federal Reserve Starts 2-Day Meeting on Interest Rates

NEW YORK (AP) -- Wall Street was little changed Tuesday as the Federal Reserve opened a two-day meeting expected to result in another interest rate cut.

The Fed's imminent rate decision is clearly the market's focus this week, so trading will be marked by investors' conjectures about policymakers' thoughts on the weak economy and crunched financial industry. With a decision not expected until Wednesday afternoon, the market in the meantime digested Tuesday's data on earnings, consumer spending and durable goods.

Investors did get some encouragement about the economy after the Commerce Department said orders for big-ticket items rose 5.2 percent in December, the widest jump in five months. In addition, the Conference Board reported consumer confidence fell in December -- but was slightly higher than expected.

Economic data will continue to be scrutinized as investors try to determine what the psyche of the Federal Reserve is regarding the economy. Investors are angling for a half-point cut following its emergency three-quarter-point cut last week.

In the first hour of trading, the Dow Jones industrial average rose 18.86, or 0.15 percent, to 12,402.75.

Broader indexes also moved higher. The Standard & Poor's 500 index fell 0.97, or 0.07 percent, to 1,352.99, and the Nasdaq composite slipped 12.91, or 0.55 percent, to 2,337.00.