#FOMCMeeting

U.S. stocks were mixed after the Federal Reserve held interest rates steady at its latest policy meeting, while warning of rising risks to the economy.

Investors will scour comments from Fed Chair Jerome Powell starting at 2:30 p.m. ET for further discussion of how policymakers view the challenges facing U.S. growth and employment.

Wednesday's trading opened with gains driven by news that China and the U.S. are finally ready to talk trade. But major indexes turned mostly negative after the Fed's latest statement warned that "the risks of higher unemployment and higher inflation have risen."

On trade, a team led by Treasury Secretary Scott Bessent and U.S. Trade Representative Jamieson Greer will travel to Switzerland this week to meet counterparts including Beijing’s lead economic representative.

The discussions could pave the way for broader trade talks. Many investors hope the result will be a rolling back of punitive tit-for-tat tariffs. Trade between the world's two largest economies has slowed, prompting warnings of empty shelves and Covid-style shortages in the U.S. within weeks.

Beijing also moved to shore up its economy by cutting interest rates, the first such step since President Trump ratcheted up tariffs last month.

The planned U.S.-China talks follow a tense meeting Tuesday between Trump and Prime Minister Mark Carney of Canada, another nation in Trump's crosshairs.

Meanwhile, earnings. Disney—which would be vulnerable to Trump's planned 100% tariff on films produced overseas—posted strong quarterly results that fueled a rally in its stock. Disney also said it was planning a new theme park in Abu Dhabi.

BMW held its outlook steady Wednesday, saying it assumes the tariff burden will lighten later in the year. The disadvantages of current trade restrictions "are far too big for everybody," its chief executive said.