Dow Jones closes up 0.16% or 39.18 points at 24,640.45
Indices lifted by heavyweights like Amazon, Apple
Market still cautious ahead of CPI data
Stocks managed to edge slightly highly, boosted by heavyweights - Amazon.com, Apple Inc, and Goldman Sachs Group Inc. as the market remained wary of the January inflation data that are due for release on Wednesday.
The Dow Jones Industrial Average closed up 0.16% or 39.18 points at 24,640.45 while the S&P 500 also edged higher to close up 6.94 points or 0.26% at 2,662.94.
The NASDAQ also gained, closing the day up 0.45% or 31.55 points at 7,013.51.
All the indices had opened in the red but gradually moved into positive territory, led by heavyweights, including Wells Fargo & Co (NYSE:WFC) which closed up 2.67% at US$58.01.
"We think we're going to be volatile for a few more trading days at least, as the market sorts out what's really been going on," Rob Haworth from the U.S. Bank Wealth Management said.
General Motors Co (NYSE:GM) slipped 1.43% to end the day at US$41.40 after announcing plans to close a plant in South Korea, which would affect 2,000 employees and result in a charge of US$850mln.
MID SESSION: MARKET EDGES HIGHER ON TIGHT TRADING
Stocks turned slightly higher but still remained cautious ahead of the release of key inflation data for January on Wednesday.
There are concerns that if the data comes in stronger than expected, there may be another sell off on the cards.
The Dow Jones Industrial Average was up 74.08 points or 0.30% at 24,686.92 while the S&P 500 was also slightly higher, up 7.17 points or 0.28 % at 2,665.06.
The NASDAQ also gained, up 26.42 points or 0.38% at 7,016.14.
OPEN: MARKET TURNS CAUTIOUS
The two-day winning streak is over as the main indices fell for the first time in three sessions as the market turned cautious ahead of the inflation data, due to be released on Wednesday.
A strong consumer price data could point to rising inflation and hence faster interest rates hikes.
"I expect a continued stream of volatility, driven by uncertainty among investors with fears of accelerating rates. I don't think that's going away any time soon," said Andre Bakhos from New Vines Capital LLC.
The Dow Jones Industrial Average was down 106.83 points or 0.42% at 24,488.39 while the S&P 500 was down 5.39 points or 0.20 % at 2,647.53.
The NASDAQ also lost ground, slipping 3.71 points or 0.05% at 6,972.92.
Shares of sportswear maker Under Armour gained 15.1% at US$15.14 after it released quarterly revenue that came in above market expectations.
AmerisourceBergen Corp also soared, but were off highs, up 8.43% at US$96.94 after Wall Street Journal reported that Walgreens Boots Alliance Inc. had made a takeover approach for the company and that both companies had been in talks over the past few weeks.
PepsiCo Inc edged slightly, up 0.08% at US$111.86 after fourth quarter results. The beverages and snacks company also hiked its dividend and unveiled a new shares buyback program.
Wall Street’s two-day winning streak appears to be in jeopardy Tuesday Morning as U.S. stock futures were in the red ahead of the opening bell.
In London, the FTSE 100 was 15 points higher to 7,192 in intraday action, while Japan’s Nikkei 225 shed 138 points to 21,244 overnight.
Oil futures dipped just below US$59 per barrel.
Earnings in focus
Among U.S. companies reporting earnings Tuesday Morning, athletic-wear maker Under Armour (NYSE:UA) saw shares bolt upwards more than 10% to US$14.65 in early trading on better-than-expected fourth-quarter earnings.
Soft-drink giant PepsiCo Inc. (NASDAQ:PEP) beat sales forecasts on the strength of its snacks business in the fourth quarter and announced a US$15bln stock buyback, helping shares rise about 1% to US$113 in premarket action.
And meal-kit provider Blue Apron Holdings Inc.’s (NYSE:APRN) shares surged more than 10% to US$3.65 after posting a narrower loss in its fourth quarter.
Redbook’s weekly same-store sales report for retail chains is due at 8:55 a.m.ET. And Cleveland Fed chief Loretta Mester is scheduled to speak in Dayton, Ohio at 8 a.m. ET.