The stock market shot to new records at the start of yesterday's session, but ended the day modestly lower. Investors haven't been discouraged by the defeat though; rather, they look poised to take another shot this morning. The S&P 500 futures trade 14 points, or 0.5%, above fair value.
Financials have dominated the earnings front this morning. Bank of America (BAC 31.31, +0.07, +0.2%), Goldman Sachs (GS 256.12, -2.34, -0.9%), and U.S. Bancorp (USB 57.25, +0.08, +0.1%) all reported better-than-expected earnings, but differed on revenues; BAC missed estimates, GS reported better-than-expected results, and USB's top line came in as expected.
Charles Schwab (SCHW 55.90, +0.37, +0.7%) will also report before the opening bell.
As for economic data, Industrial Production (Briefing.com consensus +0.4%) and Capacity Utilization (Briefing.com consensus 77.3%) for December will be released at 9:15 AM ET, followed by the NAHB Housing Market Index (Briefing.com consensus 73) at 10:00 AM ET, the Fed's Beige Book at 2:00 PM ET, and Net Long-Term TIC Flows for January at 4:00 PM ET.
The weekly MBA Mortgage Applications Index crossed the wires earlier this morning, showing an increase of 4.1%. Last week the index increased 8.3%.
In the bond market, U.S. Treasuries are under pressure, sending yields higher across the curve. The yield on the benchmark 10-yr Treasury note is at 2.55% after settling Tuesday at 2.54%, while the 2-yr yield is up three basis points at 2.04%.
West Texas Intermediate crude futures are down for the second day in a row, slipping 0.3% to $63.57 per barrel.
Elsewhere, the major European stock indices are little changed as the euro trades 0.4% lower against the U.S. dollar at 1.2216. The single currency weakened after two European Central Bank officials said they expect the ECB to maintain its ultra-accommodative policy stance.
In Asia, stocks had a mixed showing; Japan's Nikkei lost 0.4% while Hong Kong's Hang Seng and China's Shanghai Composite added 0.3% and 0.2%, respectively.