While selling pressure has remained subdued, stocks are seeing modest weakness in mid-day trading on Tuesday after initially showing a lack of direction. Lingering concerns about the situation in Ukraine may be weighing on the markets. The major averages are currently posting modest losses, near their lows for the session.
Senator Dianne Feinstein, D-Calif., has accused the Central Intelligence Agency of searching the Senate Intelligence Committee's computers and suggested that the agency may have violated the constitution. Feinstein claimed that the CIA searched a stand-alone computer network established as part of the intelligence committee's investigation of the Bush-era detention and interrogation program.
Italian banking giant UniCredit SpA on Tuesday reported a loss for the fourth quarter that widened from last year, reflecting a hefty goodwill impairment and additional loan loss provisions. UniCredit's board approved the company's new 2013-18 strategic plan, targeting a net profit of about 2 billion euros in 2014 that is expected to more than triple to 6.6 billion euros in 2018.
Wholesale inventories in the U.S. rose by more than expected in the month of January, according to a report released by the Commerce Department on Tuesday, although the report also showed a steep drop in wholesale sales. The report said wholesale inventories climbed 0.6 percent in January following an upwardly revised 0.4 percent increase in December.
With many traders sticking to the sidelines amid a lack of catalysts, stocks are turning in a lackluster performance in early trading on Tuesday. The major averages are showing only modest moves, lingering near the unchanged line.
Teen clothing retailer American Eagle Outfitters, Inc. Tuesday reported a sharp fall in fourth-quarter profit, reflecting asset impairment charges and write-offs. Total net revenues declined 7 percent from last year, with a drop in comparable sales. The company also issued a weak outlook for the first quarter. The shares are down more than 6 percent in the early morning.
Sporting goods retailer Dick's Sporting Goods, Inc. (DKS) reported Tuesday a profit for the fourth quarter that grew from last year, reflecting relatively strong holiday sales. Earnings per share matched analysts' expectations and quarterly revenues topped their estimates. However, the company provided earnings guidance for the first quarter and full-year 2014, both below Street view.
Chinavision Media Group Ltd. said Tuesday that China's e-commerce giant Alibaba Group Holding Ltd. has agreed to buy a 60 percent stake in the company for about HK$6.24 billion or $804 million. The deal, which will enable Alibaba to gain access to Chinavision's film and television production, is part of Alibaba's efforts to bolster its position amid stiff competition from rival Internet companies.
After ending the previous session slightly lower, stocks are likely to show a lack of direction in early trading on Tuesday. The major index futures are currently pointing to a roughly flat open for the markets, with the Dow futures down by just 3 points.
U.K. industrial production growth slowed more-than-expected in January as severe weather conditions hampered oil production in the North Sea, official data showed Tuesday. On the other hand, manufacturing output topped expectations with broad based expansion in most sub-sectors offsetting sharp contraction in pharmaceutical products.
Department stores Bon-Ton Stores, Inc. reported Tuesday a profit for the fourth quarter that declined from last year, reflecting higher expenses and a near double-digit drop on net sales amid severe winter weather. Earnings per share topped analysts' expectations, while quarterly revenues missed estimates. The company also provided earnings forecast for the full-year 2014, well below Street view.
The mood on Wall Street is likely to be cautious, as the lack of any meaningful catalysts increases the uncertainty in the minds of traders. Asian stocks traded amid trepidation amid the monetary policy decision from the Bank of Japan and some soft domestic economic data. In Europe, the sentiment is mixed, with the German market moving to the upside in reaction to strong export data.
German re-insurer Hannover Re Tuesday reported 48 percent climb in fourth-quarter profit, and reaffirmed its profit view for 2014. The company posted about 5 percent rise in profit for full year 2013, driven by a very good underwriting result in non-life reinsurance, and benefit from a positive tax effect.
Eurogroup President Jeroen Dijsselbloem said on Tuesday that European finance ministers made good progress on framing the deal for a single mechanism to deal with failed banks in the currency bloc.
European stock futures are slightly higher, indicating a firmer open on Tuesday despite an insipid performance on Wall Street overnight and mixed Asian cues.
The Asian markets are turning in a mixed performance, giving up some of their early gains, as China's credit growth trailed analysts' estimates...