Stocks stall | Fed stays the course | Biden to unveil $1.8 trillion stimulus

The S&P 500 was flat on Wednesday, but touched another record after the Federal Reserved left interest rates unchanged in its latest policy decision and hinted that it would keep easy monetary policy where it is for some time despite a strengthening economy and rising inflation.

VIEW IN BROWSER | SUBSCRIBE WED, APR 28, 2021 EVENING BRIEF AS OF WED, APR 28, 2021 • 04:26 ET DJIA 33820.38 -0.48% -164.55 S&P 500 4183.18 -0.08% -3.54 NASDAQ 14051.03 -0.28% -39.19   Most Active DOW NAME LAST CHG %CHG AAPL 133.58 -0.81 -0.60% MSFT 254.56 -7.41 -2.83% INTC 57.62 -0.35 -0.60% S&P 500 NAME LAST CHG %CHG AMD 84.02 -1.19 -1.40% AAPL 133.58 -0.81 -0.60% GE 13.20 -0.29 -2.15% NASDAQ NAME LAST CHG %CHG AMD 84.02 -1.19 -1.40% AAPL 133.58 -0.81 -0.60% MSFT 254.56 -7.41 -2.83%   EDITOR'S NOTE The S&P 500 closed around the flat line on Wednesday despite the Federal Reserve's decision to hold interest rates near zero and pledge to keep its easy monetary policy in place for some time. The central bank also acknowledged that the economy is getting stronger in its recovery from the Covid pandemic and inflation is rising.   The S&P 500 touched an intraday high during Fed Chair Jerome Powell's news conference when he said it would likely take "some time" before the central bank's objectives are achieved. Powell also said it is not time yet to begin talking about tapering the Fed's monthly asset purchases.   The Dow Jones Industrial Average dropped more than 160 points, however, dragged down by losses from Boeing, Microsoft and Amgen. The Nasdaq Composite shed about 0.3%. "Amid progress on vaccinations and strong policy support, indicators of economic activity and employment have strengthened," the Fed said in a statement, in which it also decided to leave interest rates near zero. The central bank also added that it is seeing signs of rising inflation, but the price increases are pandemic-related and should be transitory.   "Markets are buying into the fact rates are going to stay low," said Michael Arone, chief investment strategist at State Street Global Advisors. Powell is "focused on inflation, which is transitory, and the labor market, which has a tremendous amount of slack and a long way to go. This idea that rates won't accelerate quickly, I do think helps soften some of the concerns that accelerating interest rates were going to be a headwind for growth stocks. I guess that's good news for asset prices."   Investors also digested major technology earnings from Google-parent Alphabet, AMD and Microsoft. However, all eyes are on Apple and Facebook, which report after the closing bell Wednesday. Jim Paulsen, chief investment strategist at the Leuthold Group, told CNBC that the stock market may wait until some of these key reports are out before deciding on its next major direction. Maggie Fitzgerald | CNBC Markets Reporter @mkmfitzgerald TOP NEWS  S&P 500 closes flat after Fed keeps rates near zero, Dow falls 160 points Fed holds interest rates near zero, sees faster growth and higher inflation Biden to unveil $1.8 trillion plan for children and families — here's what's in it Tesla is now sitting on $2.5 billion of bitcoin Why investors shouldn't trade on Biden's proposed stimulus and higher taxes just yet Facebook revenue rises 48%, users slightly below expectations Ford beats Wall Street estimates SEC delays decision on approving bitcoin ETF WarnerMedia plans to charge $9.99 per month for ad-supported HBO Max Here's what every major analyst expects from Amazon's first-quarter earnings report   TOP VIDEO Fed's Powell says froth in equity markets has to do with vaccinations   CNBC PRO Cramer says Microsoft is 'the stock to buy' on its post-earnings dip   SPECIAL REPORTS Spotify founder 'very serious' about buying his favorite club, Arsenal, says he's secured funding More $1,400 stimulus checks are sent as the IRS processes tax returns   Unsubscribe Manage Newsletters Terms of Service Join the CNBC Panel Digital Products Feedback Privacy Policy   © 2021 CNBC LLC. All rights reserved. A property of NBCUniversal. 900 Sylvan Avenue, Englewood Cliffs, NJ 07632 Data is a real-time snapshot *Data is delayed at least 15 minutes. Global Business and Financial News, Stock Quotes and Market Data and Analysis. Data also provided by THOMSON REUTERS