Stocks rose ahead of Fed's interest rate announcement

Stocks rose on Wednesday as investors awaited an important announcement from the Federal Reserve. The Fed is expected to announce at 2 p.m. whether it will change interest rates. Fed Chair Jerome Powell will hold a news conference at 2:30 p.m. Futures for major stock indexes like the S&P 500, Nasdaq 100, and Dow Jones rose slightly earlier in the day. Economists predict the Fed will keep interest rates at 4.5%. Investors will look closely at the Fed's updated economic forecasts and "dot plot," which shows members' rate expectations. There is a lot of debate among economists regarding inflation trends, with some suggesting possible rate cuts soon, while others believe rates will remain steady for now. Several stocks are drawing attention today. Autodesk shares rose about 1.2% after news that activist investor Starboard Value plans to challenge the company. However, General Mills saw its stock drop by 3.8% after reporting disappointing quarterly revenue and lowering its sales forecast. Gilead and GSK shares also fell more than 2% after reports about potential cuts to domestic HIV prevention spending. In contrast, Nvidia shares gained 1% after a drop the previous day. The company's AI conference is ongoing, with some announcements about self-driving cars in partnership with GM. Tencent's stock slightly increased after reporting better-than-expected sales and profits, along with plans for more investment in AI. Tesla shares gained 3.1% after receiving a permit for a new ride service in California, despite significant losses over the past month. BYD's shares also rose, benefiting from news around its new ultra-fast charger amid competition from Chinese electric vehicle makers.