* Dow industrials hit record intraday high
* Microsoft, Facebook, Amazon help boost S&P 500
* Federal Reserve widely expected to raise rates on Wed
* Indexes up: Dow 0.42 pct, S&P 0.4 pct, Nasdaq 0.55 pct
(Updates to late afternoon)
By Lewis Krauskopf
June 13 Wall Street gained on Tuesday, with the
Dow hitting an all-time high, as bank shares rose ahead of an
expected Federal Reserve interest rate hike and technology
stocks bounced back.
The S&P 500 technology sector rose 0.7 percent,
recovering from its biggest two-day decline in nearly a year.
Big tech names, such as Microsoft and Facebook,
pushed the S&P 500 higher.
"The selloff in tech probably was a bit further than people
expected, so there is some bargain hunting back into that
sector," said Rick Meckler, president of LibertyView Capital
Tech has led the S&P 500's 9-percent rally this year, and
its recent swoon has sparked speculation that investors may be
rotating into other swaths of the market that have lagged in
2017, such as financials and energy.
Financials were up 0.5 percent on Tuesday, while
energy gained 0.7 percent. Materials were the
top gaining sector, rising 0.9 percent.
Tuesday's market action reflected "a continuation of running
up some of the areas that have not participated over the course
of the last few months in combination with some speculation that
the Fed is going to be more resolute about raising rates than
investors had begun to anticipate in the bond market," said
Bruce McCain, chief investment strategist at Key Private Bank in
The Dow Jones Industrial Average rose 88.48 points,
or 0.42 percent, to 21,324.15, the S&P 500 gained 9.66
points, or 0.40 percent, to 2,439.05 and the Nasdaq Composite
added 33.89 points, or 0.55 percent, to 6,209.36.
Traders are overwhelmingly expecting an interest rate
increase when the Fed concludes its two-day meeting on
The central bank is scheduled to release its decision at 2
p.m EDT (1800 GMT) on Wednesday with a news conference to follow
from Fed Chair Janet Yellen.
Financials, which tend to benefit when rates are rising,
also climbed after the U.S. Treasury Department announced a plan
to upend the country's financial regulatory framework, which
would grant many items on Wall Street's wishlist.
In corporate news, Cheesecake Factory shares fell
9.5 percent after the restaurant chain warned of a decline in
comparable store sales.
Advancing issues outnumbered declining ones on the NYSE by a
2.11-to-1 ratio; on Nasdaq, a 1.69-to-1 ratio favored advancers.
(Additional reporting by Sruthi Shankar and Yashaswini
Swamynathan in Bengaluru; Editing by Anil D'Silva and Nick