Stocks are mixed after Fed minutes and Europe worries

NEW YORK (AP) - U.S. stocks are paring their losses Wednesday as the investors feel the Federal Reserve isn't in a hurry to raise interest rates too quickly. Retailers and health care and technology companies are up. Bond yields and interest rates are down as investors worry about the European economy after a measure of business activity in the region fell to an 18-month low in May.

KEEPING SCORE: The S&P 500 index fell as much as 14 points in morning trading but was down 1 point, or 0.1 percent, to 2,722 as of 2:40 p.m. Eastern time. The Dow Jones industrial average slid 54 points, or 0.2 percent, to 24,780 as Goldman Sachs and American Express both fell 1 percent. The Nasdaq composite rose 13 points, or 0.2 percent, to 7,392. The Russell 2000 index of smaller-company stocks dipped 1 point, or 0.1 percent, to 1,623.

FED MINUTES: The Federal Reserve released minutes from its meeting earlier this month. Officials concluded that the Fed should be on track to keep raising interest rates gradually, and some said it wouldn't be a problem if inflation briefly went past the Fed's target rate of 2 percent. That suggests the Fed won't raise interest rates too quickly, a development that worries investors because it would slow down economic growth.

The Fed raised its benchmark interest rate in March and is expected to do so again in June. After that, investors are split as to whether rates will be raised one more time this year or two times.

The central bank's other concerns included rising wage pressures and possible negative reactions to the Trump administration's trade policies.

RETAIL DETAILS: Tiffany sparkled in the first quarter as the jewelry company's earnings and sales blew past Wall Street projections. The company also said it's planning to buy back $1 billion in its own stock. The stock jumped 21.9 percent to $124.58. Also rising after its quarterly report was Ralph Lauren, which jumped 13.6 percent to $132.51.

Target slumped after its first-quarter profit fell short of expectations. The big box retailer said more customers came to its stores and sales improved, but it's spending a lot of money to try to reinvent itself to better compete with Amazon. Target plans to spend $7 billion through 2020 to update stores and open smaller locations in urban markets. The stock sank 5.6 percent to $71.28.

Home improvement retailer Lowe's had a mostly disappointing first quarter as harsh winter weather cut into the traditional spring sales season, but the company forecast stronger sales growth for the rest of the year. The stock surged 10.5 percent to $94.77. Lowe's stock and its sales have lagged behind Home Depot, but it made up ground on Wednesday.

EUROPE'S ECONOMY: A survey suggested that the eurozone's economy might remain weak for longer than experts had expected. IHS Markit's purchasing managers' index, a broad gauge of business activity, grew at its slowest pace in 18 months in May.

Germany's DAX gave up 1.5 percent and France's CAC 40 fell 1.3 percent while the British FTSE 100 lost 1.1 percent. Investors bought European government bonds, pushing prices higher and yields lower in Germany, Spain, France and the U.K.

BONDS: Bond prices climbed. The yield on the 10-year Treasury note fell to 3.01 percent from 3.06 percent. With interest rates in decline, banks lost ground. Citigroup fell 1.8 percent to $69.80 and Bank of American lost 1.8 percent to $30.33.

Banks climbed Tuesday as Congress prepared to vote on a bill that eased some of the regulations passed after the 2008 financial crisis. The legislation passed the House Tuesday evening and President Donald Trump is expected to sign it into law. Real estate investment trusts, utilities, and other stocks that pay large dividends rose. Those stocks are often considered alternatives to bonds, and investors who want income often buy them when bond yields decrease.

CABLE HOOKUP: Comcast said it is preparing an all-cash offer for Twenty-First Century Fox's entertainment and international divisions, and said it plans to bid more than the $52.4 billion Disney offered. Comcast didn't disclose other details about its plans. Fox rose 1.4 percent to $38.71 while Comcast fell 1.7 percent to $31.96, and Disney slid 1 percent to $103.03.

ENERGY: Benchmark U.S. crude lost 0.5 percent to $71.84 per barrel in New York. Brent crude, used to price international oils, rose 0.3 percent to $79.80 a barrel in London.

Wholesale gasoline lost 0.4 percent to $2.26 a gallon. Heating oil rose 0.4 percent to $2.29 a gallon. Natural gas added 0.2 percent to $2.91 per 1,000 cubic feet.

CURRENCIES: The dollar dropped to 110.07 yen from 111.02 yen. The euro fell to $1.1707 from $1.1779.

METALS: Gold lost 0.2 percent to $1,289.60 an ounce. Silver fell 1 percent to $16.41 an ounce. Copper plunged 2 percent to $3.07 a pound.

ASIA: Japan's benchmark Nikkei 225 fell 1.2 percent and South Korea's Kospi gained 0.3 percent. Hong Kong's Hang Seng lost 1.8 percent.

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AP Markets Writer Marley Jay can be reached at http://twitter.com/MarleyJayAP . His work can be found at https://apnews.com/search/marley%20jay