Stock market today: S&P 500 and Nasdaq rise ahead of crucial Fed interest rate decision

US stocks mostly rose on Wednesday morning ahead of the Federal Reserve's decision on whether to hike interest rates for the first time in three years.

The Dow Jones Industrial Average ( ^DJI ) wavered near the flat line, while the S&P 500 ( ^GSPC ) rose 0.3%. The Nasdaq Composite ( ^IXIC ) gained 0.7%.

Stocks searched for gains after ending Tuesday's session lower . A bond sell-off that has pushed the 10-year yield ( ^TNX ) to its highest level since the financial crisis weighed on stock sentiment.

Crypto prices tumbled, meanwhile, after the Senate failed to pass a key procedural vote for a regulatory framework for digital assets, known as the Clarity Act. Bitcoin's price ( BTC-USD ) dropped below $76,000.

At the same time, rising oil prices have contributed to worries that inflation will remain stubbornly high. Despite a pause in crude oil's rally, benchmark Brent ( BZ=F ) and WTI ( CL=F ) futures remain above $100 per barrel.

That sets the stage for Wednesday's crucial events: the Federal Reserve rate decision, the release of the Fed's dot plot , and Fed Chairman Kevin Warsh's press conference. Traders overwhelmingly expect the Fed to hike rates on Wednesday, with odds at 93%, according to CME Group .

Should Warsh and FOMC policymakers follow through with a hike, it could set the Fed up to clash with the White House, as President Trump has ratcheted up calls for lower interest rates.

In other economic data releases, August retail sales reaccelerated, rising 1.2% versus expectations of a 0.9% increase and July's 0.5% decline, highlighting that consumers continue to spend despite inflation pains.