Stocks Ended Mixed after Fed Decision

U.S. stocks ended mixed on Wednesday after the Federal Reserve announced it would cut its benchmark federal funds rate a quarter percentage point, in line with market expectations. The Dow Jones Industrial Average rose 36.28 points, or 0.13%, to 27,147.08. The S&P 500 added 1.03 points, or 0.03%, to 3,006.73. The Nasdaq Composite was down 8.62 points, or 0.11%, to 8,177.39.

Oil futures fell on Wednesday, pressured as Saudi Arabia’s output levels looked to recover much sooner than expected and the U.S. government reported a weekly rise in domestic crude inventories, following four consecutive weeks of declines. West Texas Intermediate crude for October delivery lost $1.23, or 2.1%, to settle at $58.11 a barrel. November Brent crude shed 95 cents, or 1.5%, to $63.60 a barrel.

The Federal Reserve on Wednesday cut interest rates again by 25 basis points to a new target range of 1.75% to 2%, and telegraphed a strong likelihood of one more rate cut by the end of the year.

Microsoft Corp.board increased the quarterly dividend by 11% to 51 cents a share, which is payable to shareholders as of Nov. 21 on Dec. 12. Microsoft also said its board approved up to $40 billion in share buyback authority, which has no timeline or expiration date.