Investors await Apple, Facebook earnings after Fed holds interest rates

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Investors expect Apple and Facebook earnings due after the bell to company.

April 28 - The S&P 500 ended lower on Wednesday after the US Federal Reserve held their interest rates and monthly bond buying program steady and gave no sign that it was ready to reduce its support for the recovery.

The Fed, despite the general economic recovery, repeated the guidance it has used since December saying that it must see substantial further progress towards its inflation and employment goals before stepping back from its monthly bond purchases.

The Fed has underscored that there remains a lot of uncertainty.In this type of backdrop, with inflation being monetary overdue, they will continue to pedal to the metal in terms of monetary policy, said Kevin Flanagan, head of fixed income strategy at WisdomTree Funds.

The S&P 500 was mostly unchanged immediately after the Fed's announcement, but it later rose to an intra-day record high after Fed Chair Jerome Powell said during a press conference that it was not time yet to discuss reducing the Fed’s support for the recovery economy.

U.S. President Joe Biden is expected to unveil a sweeping $1.8 trillion package for families and education in his first joint speech to the United States Congress on Wednesday, according to senior White House officials.

Alphabet Inc. hit a record high on Tuesday after a second consecutive quarter of record profits and a $50 billion buyback announced.

After the bell, investors were waiting for quarterly reports from Apple and Facebook.

The Nasdaq composite dropped from 161.59 points, or 0.48%, to 33,823. 34, the Dow Jones Industrial Average lost 3.27 points, or 0.08%, to 4,183. 45 and the S&P 500 lost 39.19 points or 0.28%, to 14,051. 03.

The quarterly report of Microsoft Corp. was released on Tuesday in compliance with sales expectations and beat company profit estimates, but its shares and pressured the Nasdaq due to skepticism about a one-off benefit included in the results and high hopes, after a year-long rally.

The decline in Biotech Amgen Inc. was also forced on Dow after said its first-quarter sales and profit fell due to a 7% drop in its net drug prices and a hit by the COVID-19 pandemic.

Boeing Mo's shares fell after posting a significant quarterly loss and pausing 737 MAX deliveries over an electrical issue that has partly re-grounded the fleet.

According to Refinitiv IBES data, overall earnings per share for S&P 500 companies in the first quarter are expected to rise by 39% from a year earlier.Is it the "L" gram?

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