Stocks were mixed at midday as investors prepared for the release of the Federal Open Market Committee's June meeting minutes, where they will look for key statements on the Fed's outlook on interest rates and economic conditions. The minutes are scheduled for release at 2 p.m. EDT today. Treasury prices were lower this morning prior to the minutes and a 10-year note auction.
Meanwhile, the Commerce Department said wholesale inventory levels in the United States dropped by 0.5% in May from April. Wholesale revenues, however, increased by 1.6% for the month.
Stocks on the Move
Fastenal (FAST) posted a 7.7% gain in second-quarter net income compared with the same time last year, with a 5.3% increase in revenue. Earnings per share were in line with expectations, but sales fell short, which the firm attributed to economic conditions. Shares were down by 1.4% at midday.
Family Dollar Stores (FDO) shares had gained more than 5% at midday after the firm's third-quarter earnings exceeded expectations despite a decline from the same time last year. Revenue was in line with Wall Street forecasts. The firm also gave a narrowed EPS outlook for the year.
Late Tuesday, the Financial Stability Oversight Council voted to designate General Electric's (GE) financial arm, GE Capital, as a systemically important financial institution, which would require stricter oversight for the business. While GE Capital will fall under broader regulatory oversight, this is an outcome that the company has been preparing for and Morningstar analysts think has sped up the decision to spin off certain parts of GE Capital in the near future. Shares were 0.6% lower at midday.
Kevin O'Shaughnessy does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.