Stocks Roughly Flat Ahead Of Key Economic Data - U.S. Commentary

(RTTNews) - After coming under pressure in the latter part of the previous session, 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.

Currently, the major averages are turning in a mixed performance. While the S&P 500 is down 0.71 points or less than a tenth of a percent at 1,790.82, the Dow is up 14.13 points or 0.1 percent at 15,990.15 and the Nasdaq is up 2.66 points or 0.1 percent at 3,951.72.

The choppy trading on Wall Street comes as traders are looking ahead to the release of some closely watched economic data on Wednesday, including reports on retail sales, consumer prices, and existing home sales.

The reports could have a significant impact on expectations regarding when the Federal Reserve will begin scaling back its asset purchase program.

In light of the focus on the outlook for the Fed's stimulus program, traders are also likely to keep a close eye on remarks by Fed Chairman Ben Bernanke.

Bernanke is scheduled to deliver the Herbert Stein Memorial Lecture at the National Economists Club's annual dinner in Washington at 7 pm ET.

Most of the major sectors are showing only modest moves in early trading, although some strength is visible among airline stocks. United (UAL) is leading the sector higher after outlining a plan to reduce costs by $2 billion annually.

Banking stocks are also seeing some early strength, while weakness has emerged among tobacco, trucking, and oil service stocks.

Among individual stocks, Dow component Home Depot (HD) has moved to the upside after the home improvement retailer reported better than expected third quarter earnings. The company also raised its full-year earnings and sales guidance.

Networking equipment maker Brocade Communications (BRCD) is also turning in a strong performance after reporting fourth quarter results that exceeded analyst estimates.

On the other hand, shares of Best Buy (BBY) have come under pressure after the consumer electronics retailer reported better than expected third quarter results but warned that its holiday promotions could have a negative impact on margins in the fourth quarter.

In overseas trading, stock markets across the Asia-Pacific region moved mostly lower during trading on Tuesday. Japan's Nikkei 225 Index dipped by 0.3 percent, while China's Shanghai Composite Index edged down by 0.2 percent.

The major European markets have also moved to the downside on the day. While the French CAC 40 Index has fallen by 1.2 percent, the U.K.'s FTSE 100 Index is down by 0.7 percent and the German DAX Index is down by 0.4 percent.

In the bond market, treasuries are seeing modest weakness after ending the previous session moderately higher. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is up by 1.2 basis points at 2.69 percent.