WASHINGTON (dpa-AFX) - After ending the previous session on opposite sides
of the unchanged line, the major U.S. stock indexes are turning in another mixed
performance during trading on Tuesday.

While the Nasdaq and the S&P 500 have risen to new record intraday highs, the
narrower Dow is adding to the modest loss posted on Monday.

Currently, the Nasdaq is up 59.22 points or 0.3 percent at 18,462.96 and the S&P
500 is up 10.90 points or 0.2 percent at 5,583.75, but the Dow is down 92.72
points or 0.2 percent at 39,252.07.

The mixed performance on Wall Street comes as traders digest Federal Reserve
Chair Jerome Powell's testimony before the Senate Banking Committee.

Powell told the committee more good data would strengthen the central bank's
confidence inflation is moving sustainably toward its 2 percent target and lead
to a potential interest rate cut.

'The Committee has stated that we do not expect it will be appropriate to reduce
the target range for the federal funds rate until we have gained greater
confidence that inflation is moving sustainably toward 2 percent,' Powell said
in prepared remarks.

'Incoming data for the first quarter of this year did not support such greater
confidence,' he continued. 'The most recent inflation readings, however, have
shown some modest further progress, and more good data would strengthen our
confidence that inflation is moving sustainably toward 2 percent.'

Powell's remarks come as a report released by the Commerce Department late last
month showed the annual rate of growth by core consumer prices, which exclude
food and energy prices, slowed to 2.6 percent in May from 2.8 percent in April.

On Thursday, the Labor Department is scheduled to release its report on consumer
price inflation in the month of June.

Economists expect the annual rate of consumer price growth to slow to 3.1
percent in June from 3.3 percent in May, while the annual rate of core consumer
price growth is expected to hold at 3.4 percent.

The Fed Chair also warned of the risk that leaving interest rates at an elevated
level for too long could jeopardize economic growth.

'In light of the progress made both in lowering inflation and in cooling the
labor market over the past two years, elevated inflation is not the only risk we
face,' Powell said. 'Reducing policy restraint too late or too little could
unduly weaken economic activity and employment.'

Most of the major sectors are showing only modest moves on the day, contributing
to the relatively lackluster performance by the broader markets.

In overseas trading, stock markets across the Asia-Pacific region moved mostly
higher during trading on Tuesday. Japan's Nikkei 225 Index surged by 2.0
percent, while China's Shanghai Composite Index jumped by 1.3 percent.

Meanwhile, the major European markets have moved to the downside on the day.
While the French CAC 40 Index has slumped by 1.4 percent, the German DAX Index
is down by 1.2 percent and the U.K.'s FTSE 100 Index is down by 0.5 percent.

In the bond market, treasuries are giving back ground following recent strength.
Subsequently, the yield on the benchmark ten-year note, which moves opposite of
its price, is up by 4.6 basis points at 4.314 percent.



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