Market Volatility Increases As Investors Await Fed Decision

U.S. markets closed mixed on Monday amid a choppy session, with the Nasdaq Composite falling more than 50 points.

Majority of the sectors on the S&P 500 settled higher, with energy stocks recording the biggest surge on Monday. Consumer Discretionary, however, was the worst performing sector in the previous session, dropping around 0.9%.

Investors are awaiting earnings reports from several major companies this week, while the Federal Reserve is also expected to increase rates by 75 bps during its Wednesday’s meeting.

The Dow Jones rose 90.75 points to 31,990.04 on Monday, while the S&P 500 rose 0.13% to 3,966.84 in the previous session.

The US dollar index, which measures the currency’s performance versus a basket of major currencies, had surged to a 20-year high earlier during the month. However, the index edged lower on Monday.

The Chicago Board Options Exchange's CBOE Volatility Index (VIX) rose 4% to 23.96 points on Tuesday.

Shares of World Wrestling Entertainment, Inc. WWE gained more than 8% on Monday following the retirement of longtime head Vince McMahon and after the company provided Q2 guidance.

Investors are now awaiting the release of several economic reports, including home price index, Conference Board’s consumer confidence index, new home sales and Richmond Fed Manufacturing Index, due to be released today.