Wall Street wavered some Wednesday as investors await Federal Reserve Policy decisions this afternoon. The Dow Jones Industrial Average was slightly up, while the S&P 500 was just in the red. The Nasdaq was down further, as much as 0.3% around midday.
Apple (AAPL) shares dropped more than 2% on reports it had confirmed the new Apple Watch had encountered connectivity issues. The Apple Watch Series 3 is the first model to independently connect to networks, rather than through an iPhone. In a statement to The Verge, Apple said its new watch had issues connecting to cellular networks when already using unauthenticated Wi-Fi networks without connectivity. Apple said it was "investigating a fix for a future software release."
Pfizer (PFE) pushed the Dow higher after Morgan Stanley upgraded its rating to overweight from neutral. Analysts raised price target on the stock to $39 from $35. "Underperformance" had led to an upgrade and that the stock shows "favorable risk-reward and M&A optionality." Tax reform could lead to better deal opportunities for Pfizer, analysts added.
Shares of General Mills (GIS) tumbled 4% after the maker of Cheerios posted fiscal first-quarter profit and sales that missed expectations. Earnings of 71 cents a share missed consensus by a nickel, while revenue slipped nearly 4% to $3.77 billion. Organic sales declined by 4%, while gross margins slipped by 230 basis points to 35.1%.
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