U.S. Stocks End Mixed after Fed Decisions

September 22, 2010, 8:27am

NEW YORK (Xinhua) - U.S. stocks ended a choppy session mixed on Tuesday after the Federal Reserve said it was ready for more easing measures if needed.

All major indexes moved in a tight range throughout the day. Dow Jones industrial average managed to finish in positive area, while the Standard & Poor's 500 index and the Nasdaq composite index edged lower.

Fed said it will continue to keep the key interest rates at a record-low level and that it will take more easing measures to stimulate the economy when necessary. Fed officials said they are concerned that sluggish economic growth could prevent prices from rising at a healthy rate.

But Fed didn't announce any new steps on Tuesday, and suggested in stead that it will wait and see if the economy can heal on its own.

The Fed decisions shored up stocks, but only for a short period of time.

In economic data, an upbeat housing start report failed to boost the market. According to Commerce Department, construction of new homes and apartments rose 10.5 percent in August from a month earlier to a seasonally adjusted annual rate of 598,000, the highest level since April. Building permit applications, a sign of future activity, grew by nearly two percent to an annual rate of 569,000.

The Dow edged up 7.41 points, or 0.07 percent, to 10,761.03. The S&P 500 index fell 2.93 points, or 0.26 percent, to 1,139.78 and the Nasdaq dipped 6.48 points, or 0.28 percent, to 2,349.35.