Stocks rise, dollar retreats on dovish Fed minutes

US stocks rose while the dollar retreated Wednesday after Federal Reserve policymakers hinted at a slower pace of future interest rate hikes in minutes of their July meeting.

Some Fed members argued that the US central bank can afford to "be patient" before raising rates again, according to minutes that also showed policymakers befuddled by weak inflation that has persisted despite historically low unemployment.

The gains came on an up day for most international equity markets and as President Donald Trump disbanded a pair of business advisory boards after several chief executives resigned over the president's response to a white supremacist rally in Charlottesville.

The Federal Reserve had been expected to raise the benchmark lending rate a third time this year, but the minutes of the July 25-26 meeting showed policymakers remained befuddled by weak inflation, despite historically low unemployment.

The broad-based S&P 500 climbed 0.1 percent, while the dollar pulled back against the euro and other leading currencies.

"The Fed's growing concern about low inflation suggests officials would proceed cautiously in raising borrowing rates in the months ahead which could potentially scupper plans to hike again before year-end," said Joseph Manimbo, senior market analyst at Western Union Business Solutions.

Global stocks have been on an upswing all week amid diminishing tensions between the US and North Korea.

Trump announced that he was ending a pair of CEO advisory councils amid a stampede of departures after the president's muted response to a white supremacist and neo-Nazi rally in Charlottesville.

"For these CEOs it's becoming a distraction they don't need with very little benefit," said Jon Lieber, US practice head at risk consultancy Eurasia Group. Lieber said Republicans in Congress would still press on with tax reform, a key market priority.

J.J. Kinahan, chief market strategist at TD Ameritrade, said investors have already dismissed the possibility of tax cuts for 2017, but predicted there would be a "reckoning" if there no progress in 2018.

He said the White House's latest setbacks were not critical to investors.

"What drives the market is earnings and we have had pretty good earnings," Kinahan said. "The other stuff is noise."

- Key figures around 2100 GMT -

New York - Dow: UP 0.1 percent at 22,024.87 (close)

New York - S&P 500: UP 0.1 percent at 2,468.11 (close)

New York - Nasdaq: UP 0.2 percent at 6,345.11 (close)

London - FTSE 100: UP 0.7 percent at 7,433.03 points (close)

Frankfurt - DAX 30: UP 0.7 percent at 12,263.86 (close)

Paris - CAC 40: UP 0.7 percent at 5,176.61 (close)

EURO STOXX 50: UP 0.7 percent at 3,485.71

Tokyo - Nikkei 225: DOWN 0.1 percent at 19,729.28 (close)

Hong Kong - Hang Seng: UP 0.9 percent at 27,409.07 (close)

Shanghai - Composite: DOWN 0.2 percent at 3,246.45 (close)

Euro/dollar: UP at $1.1766 from $1.1734 at 2100 GMT Tuesday

Pound/dollar: UP at $1.2891 from $1.2870

Dollar/yen: DOWN at 110.19 yen from 110.70 yen

Oil - Brent North Sea: DOWN 53 cents at $50.27 per barrel

Oil - West Texas Intermediate: DOWN 77 cents at $46.78 per barrel

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Source: AFP