Stocks Opened Higher ahead of Key Central Bank Meetings

U.S. stocks opened higher on Tuesday ahead of key central-bank meetings that are likely to set the tone for Wall Street in the weeks ahead. The Dow Jones Industrial Average lately gained 77.04 points, or 0.43%, to 18,197.21. The S&P 500 advanced 7.75 points, or 0.36%, to 2,146.87. The Nasdaq Composite was up 18.69 points, or 0.36%, to 5,253.72.

U.S. Federal Reserve kicks off its two-day meeting on Tuesday and will release its rate decision at 2 p.m. Eastern Time on Wednesday.

U.S. housing starts fell more than expected in August as building activity declined broadly after two straight months of solid increases. Groundbreaking decreased 5.8 percent to a seasonally adjusted annual pace of 1.14 million units, the Commerce Department said on Tuesday.

Allergan Plc (AGN) said Tuesday it has agreed to acquire Tobira Therapeutics Inc. (TBRA) in a deal valued at up to $1.7 billion. Allergan will pay $28.35 per Tobira share upfront, and up to $49.84 per share in contingent value rights, that are payable on the meeting of certain milestones.

Home builder Lennar Corp. posted another quarter of gains in key metrics as the U.S. housing market continues to recover. Lennar reported a quarterly profit of $235.8 million, or $1.01 a share, up from $223.3 million, or 96 cents a share, a year prior. Revenue grew 13.7% to $2.83 billion.