US open: Stocks edge up even as Powell says rates likely headed higher

US stocks as investors eyed the second day of Federal Reserve chair Jerome Powell’s congressional testimony.

Investors were also digesting surprise 50 basis point rate hikes out of central banks in the UK and Norway.

"Stocks are also struggling amid a landscape dotted with rate hike craters and signs that key central banks are far from finishing the job," SPI Asset Management's Stephen Innes had told clients before the opening bell on Wall Street.

At 1512 BST, the Dow Jones Industrial Average had recovered from an early dip and was 0.09% higher at 33,982.04, while the S&P 500 was up 0.11% to 4,370.46.

The Nasdaq Composite was ahead by 0.36% to 13,550.89.

In his initial remarks, Powell reiterated that a "strong" majority of policymakers expected two more interest rate hikes.

Toeing the same line, Cleveland Fed chief Michelle Bowman told an audience on Thursday that more rate hikes were needed.

Economic data released on Thursday was did not deliver any big surprises.

According to the US Department of Labor, initial unemployment claims were unchanged at 264,000 during the week ending on 17 June (consensus: 256,000).

Existing home sales meanwhile were reported at up by 0.2% on the month in May, pushing the annual rate to 4.30m (consensus: 4.25m).

Price for existing homes on the other hand registered their largest drop since December 2011.

The Conference Board meanwhile reported a 0.7% decline in its index of leading economic indicators during the month of May.

On the corporate front, Tesla shares were down 2% following a downgrade to ‘equalweight’ out of Morgan Stanley.

Boeing was down 2% after workers at supplier Spirit Aerosystems rebuffed a wage offer, opting instead to strike.