Traders Uncertain About Rate HikeTraders Uncertain About Rate Hike

The economy is slowing as the price of gas again hits a record high. Investors had been certain the Fed would raise a key interest rate Tuesday, but now they're unsure.

Rick Whiting, Contributor

August 9, 2004

1 Min Read
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Stock prices treaded water Monday as investors waited to see whether the Federal Reserve would raise interest rates Tuesday. What little momentum achieved Monday was blunted by record-high oil prices.

The information 100 index fell 0.73 of a point, or less than 0.3%, to close at 267.74, while the Nasdaq composite fell 2.25 points, or 0.1%, to 1,774.64. The Dow fell 0.59 of a point--essentially flat--to close at 9,814.74; while the S&P 500 rose 1.28 points, or 0.1%, to finish the day at 1,065.25.

The Nasdaq-100 tracking stock closed at $32.88, up 16 cents, or nearly 0.5%, on sleepy volume of about 70 million shares.

On Friday, markets tumbled to new 2004 lows after the government reported that job growth in July was anemic. That has led to speculation that the Fed, which had been expected to raise interest rates this week, might delay a hike. In another sign the economy might be cooling, the Commerce Department said Monday that U.S. wholesale inventories increased 1.1% in June.

See the full listing of all the companies in the information 100 and the top 5 percentage winners and losers for the last closing at information.com/stocks.

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