02:05 PM EDT, 09/16/2025 (MT Newswires) -- US benchmark equity indexes were mostly lower intraday as the Federal Reserve's two-day monetary policy meeting got underway.

The Dow Jones Industrial Average was down 0.2% at 45,776.8 after midday Tuesday, while the S&P 500 fell 0.1% to 6,611.3. The Nasdaq Composite was little changed at 22,351.1. On Monday, the S&P 500 and the technology-heavy Nasdaq closed at record-high levels.

Among sectors, utilities saw the biggest drop intraday Tuesday, while energy led the gainers.

Markets widely expect the central bank's Federal Open Market Committee to lower its benchmark lending rate by 25 basis points Wednesday, according to the CME FedWatch tool. Many analysts expect the move to be the start of an easing cycle amid worries about a softening US labor market.

"While the Fed is seemingly prepared to cut rates tomorrow for the first time since December 2024, the reduction is likely to be a muted (25-basis-point) cut," Stifel said in a Tuesday client note. "While growing concerns surrounding employment is the catalyst for some policy easing, still-elevated inflation will presumably limit the downside potential for rates over the medium term."

On Monday, the Senate confirmed US President Donald Trump's nominee Stephen Miran to join the Fed's board of governors, replacing Adriana Kugler, who resigned in August.

US Treasury yields were lower intraday, with the two-year rate decreasing 2.5 basis points to 3.51% and the 10-year rate losing one basis point to 4.03%.

In economic news, US retail sales growth accelerated last month amid broad-based gains, including in spending on motor vehicles and at fuel stations, the Census Bureau said.

"Spending among low-income consumers is still under pressure from a weakening labor market, and a policy mix that is weighing on real disposable incomes," Oxford Economics said. "With tariff pass-through slower than expected, the Fed on the verge of resuming rate cuts, and the impact of tax cuts likely to build over coming quarters, the outlook for consumer spending is brightening."

US homebuilder confidence held steady this month, though future sales projections reached a six-month high amid lower mortgage rates and prospects of monetary policy easing by the Fed, according to data from the National Association of Home Builders and Wells Fargo.

"While builders continue to contend with rising construction costs, a recent drop in mortgage interest rates over the past month should help spur housing demand," NAHB Chairman Buddy Hughes said.

Spot gold broke above $3,700 per troy ounce earlier in the session, a record high, and was most recently up 0.2% at $3,686.82. Gold futures for December delivery rose as high as $3,739.5 per ounce, and were last trading up 0.2% at $3,725.50 intraday Tuesday.

Silver fell 0.1% to $42.93 per ounce.

In company news, Warner Bros. Discovery ( WBD ) shares were down 6.8%, the worst performer on the S&P 500, as TD Cowen downgraded the media and entertainment giant's stock to hold from buy.

Nvidia ( NVDA ) saw one of the biggest declines on the Dow, down 1.5%. The chipmaking giant's newest artificial intelligence chip for the Chinese market has met with lukewarm demand and some major tech firms have not placed orders, Reuters reported, citing unnamed sources.

Steel Dynamics ( STLD ) shares jumped 6.9%, the second-top gainer on the S&P 500. The steel producer said late Monday it expected third-quarter earnings rise annually and sequentially, buoyed by improved profit from its three operating businesses.

Ferguson Enterprises ( FERG ) reported a double-digit year-over-year increase in its fiscal fourth-quarter earnings on Tuesday, while the plumbing and heating products company's sales came in ahead of market expectations. Its shares were up 5% intraday.

West Texas Intermediate crude oil was up 2% at $64.57 a barrel.