Stocks moved higher a day ahead of the closely watched Fed decision on interest rates. Bobbi Rebell reports.
A spike in oil prices drove energy shares higher, and investors felt optimistic ahead of the Fed's decision on whether to hike interest rates for the first time since the financial crisis. Stocks rose for the fourth time in five sessions. Complicating that Fed decision, consumer prices unexpectedly fell in August. Separately, homebuilder confidence rose to a nearly ten-year high in September. Convergex's Nick Colas doesn't see stocks bouncing back until the fourth quarter. (SOUNDBITE) NICHOLAS COLAS, CHIEF MARKET STRATEGIST, CONVERGEX (ENGLISH) SAYING: "We're going to see more volatility. Once we get past the Fed decision, one way or the other, we're going to have to focus on corporate earnings. And those have been pretty sloppy this year." FedEx cut its fiscal year forecast. The package delivery company, seen as a proxy for the U.S. economy, said economic conditions were "weaker than expected." Shares of beer makers surged. Belgium's Anheuser-Busch InBev seeks to buy Britain's SABMiller. Shares of Altria, which owns a stake in SAB, rose. Molson Coors was the S&P 500's biggest gainer. The beer M&A news drove European shares higher for a second straight day. Hewlett-Packard shares rallied one day after the computer maker said it would cut about 33,000 jobs over three years.