U.S. stocks trade mixed after Fed minutes

U.S. stocks traded in a narrow range in the morning session on Friday, as investors continued to digest the U.S. Federal Reserve's minutes from its July meeting.

At midday, the Dow Jones Industrial Average shed 26.88 points, or 0.14 percent, to 18,570.82. The S&P 500 lost 4.20 points, or 0.19 percent, to 2,182.82. The Nasdaq Composite Index ticked up 3.53 points, or 0.07 percent, to 5,243.68.

With no major economic data due out Friday, traders were still sifting through the Fed's minutes and will keep a close eye on an annual meeting of global central bankers next week in Jackson Hole.

According to the minutes released earlier this week, some voting Federal Reserve policymakers expect that a U.S. interest rate increase will be needed soon, although there is general agreement that more data is needed before such a move.

"The information reviewed for the July 26-27 meeting indicated that labor market conditions generally improved in June and that growth in real gross domestic product was moderate in the second quarter," said the minutes.

New York Fed President William Dudley said Thursday the past two jobs reports "helped allay concerns that arose earlier this year that job growth was beginning to stall. Indeed, these reports reinforce my view that labor market conditions continue to improve."

San Francisco Fed President John Williams said the central bank should raise rates "sooner rather than later" given domestic economic momentum.

U.S. stocks ended higher after wavering in a tight range Thursday. U.S. equities rallied on Monday, with all three major indices setting new closing records for the second time in less than a week. Endit