By Anora Mahmudova, MarketWatch
NEW YORK (MarketWatch) -- U.S. stocks dipped in and out of
negative territory on Tuesday after three straight sessions of
heavy selling, as renewed tensions in Ukraine weighed on global
markets.
With the economic calendar light on data, investors are likely
to focus on earnings as well as the situation in Eastern
Europe.
The S&P 500 (SPX) fell 4 points, or 0.2%, to 1,841.28, while
the Dow Jones Industrial Average (DJI) slipped 32 points, or 0.2%,
to 16,221.40.
The Nasdaq Composite (RIXF) edged up less 6 points, or 0.2%, to
4,079.54.
Follow MarketWatch's live blog of today's stock-market
action.
Alcoa Inc. (AA) will report after the closing bell, unofficially
kicking off the first-quarter earnings season. The aluminum
producer, which is considered an industrial bellwether, was kicked
out of the Dow index last year. Read: Why Alcoa earnings still
matter
On Friday, J.P. Morgan Chase & Co. (JPM) and Wells Fargo
& Co. (WFC) are set to release results.
More than 90 companies in the S&P 500 have warned profit
will fall short of forecasts, according to FactSet data. Analysts
fear a poor earnings season could derail this year's rally.
"Investors already lowered their expectations for the
first-quarter earnings and it is not the results themselves but the
forward guidance that will be key," said Chris Gaffney, senior
market strategist, EverBank.
"The selling of high-momentum stocks is not surprising as their
valuations were too high. We are now seeing a rotation from those
high-flying companies into large-cap cyclicals and dividend-paying
defensive stocks," he added.
"Earnings results over the next month may give another
indication of which parts of the economy were most impacted by
winter storms (and we can expect that weather is likely to get the
blame for any shortfalls)," wrote Colin Cieszynski, senior market
analyst at CMC Markets in a note.
Among Federal Reserve officials, Minneapolis Fed President
Narayana Kocherlakota and Philadelphia Fed President Charles
Plosser, both voting members of the Fed's policy-setting committee
this year, deliver speeches on Tuesday.
Among individual companies, shares of Gigamon Inc. (GIMO) tanked
32% after the data-traffic technology firm cut its revenue
outlook.
James River Coal Co. (JRCC) sank 50% after the Appalachian coal
miner late Monday filed for Chapter 11 bankruptcy protection as it
continued its search for a buyer or investor.
Yelp Inc. (YELP) shares gained 2% Tuesday after analysts at
SunTrust Robinson Humphrey upgraded the Internet stock to buy from
neutral. The recent slide in the stock's value has created some
opportunities for investors, the analysts said. Oppenheimer
analysts also upgraded the Internet consumer review site's
stock.
FireEye Inc. (FEYE) shares climbed 2.3% after Wedbush analyst
Sanjit Singh upgraded the stock to outperform from neutral. The
maker of security platforms that protect against cyber attacks saw
its stock slide after a follow-on offering last month and broader
selloff in technology stocks.
In global markets news, Asian markets closed mostly higher,
while European stocks continued to decline. Gold(GCM4) and oil
(CLK4) advanced, finding support in a weaker dollar.
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