Wall St. Edges Lower, Waiting for Fed Minutes

Stocks edged lower on Wednesday, stalling after a four-day rally as attention turned to the afternoon release of minutes from the Federal Reserve’s June meeting.

In midday trading the Standard & Poor’s 500-stock index and the Dow Jones industrial average were both 0.2 percent lower, while the Nasdaq composite gained 0.1 percent.

The minutes from the June 18-19 meeting of the Federal Reserve’s Federal Open Market Committee will be scrutinized by investors for any hints on the central bank’s plan to wind down its monetary stimulus.

“I think all eyes are really on that Fed meeting and the minutes that come out,” said Anthony Conroy, head trader for ConvergEx in New York. “People are trying to figure out exactly when, how big, and how quickly, so that’s bringing a little bit of nervousness.”

China warned on Wednesday of a “grim” outlook for trade after data showed exports fell 3.1 percent in June against forecasts for a rise of 4 percent. However, the data fueled speculation the China’s central bank may ease policy in an effort to encourage growth.

The news from China helped push European shares lower, but they pared losses through the day and the FTSEurofirst 300 index closed unchanged. In Asia the Shanghai composite in China closed 2.2 percent higher, while the Japan’s Nikkei was 0.4 percent lower.

Oil prices on both sides of the Atlantic rose, with the New York benchmark crude climbing 1.9 percent, to $105.45 a barrel, buoyed by a sharp decline in fuel stockpiles in the United States.

On Wall Street financial shares were weakest, with PNC Financial Services dropping 2.6 percent and Wells Fargo down 1.9 percent. Nabors Industries, a provider of drilling rigs, fell 5.4 percent and was one of the worst performers in the S.&P. 500 after it warned that its second-quarter operating profit would fall short of market expectations.

The S.&P. 500 has risen 2.4 percent over the last four sessions, pushing the index to within 1 percent of its closing high May 21 of 1,669.16 points.