Investing.com - U.S. stocks opened mixed on Tuesday, as markets awaited U.S. President Barack Obama's State of the Union later in the day, as well as an upcoming G20 summit.
During early U.S. trade, the Dow Jones Industrial Average eased up 0.01%, the S&P 500 index dipped 0.04%, while the Nasdaq Composite index fell 0.18%.
Market participants were awaiting U.S. President's State of the Union speech later Tuesday for any indications of an agreement to avert automatic tax hikes and spending cuts due to take effect on March 1.
Sentiment has come under pressure recently, since European Central Bank President Mario Draghi said last Thursday that the central bank will monitor the economic impact of the stronger euro, fuelling speculation that an interest rate cut is not off the table.
Financial stocks were mostly lower, as shares in Goldman Sachs fell 0.20% and Citigroup dropped 0.32%, while Bank of America saw shares retreat 0.42%. JP Morgan overperformed on the other hand, edging up 0.08%.
Separately, BNY Mellon dropped 0.79% after saying on Monday it will take an USD850 million charge against first-quarter profit after losing a high-stakes tax case to the U.S. Internal Revenue Service.
Elsewhere, Facebook tumbled 1.59% after Sanford C. Bernstein & Co. downgraded its recommendation for the social-network giant.
On the upside, industrial parts maker Rexnord surged 8.36% after saying it would explore strategic alternatives, including a sale of the company, less than a year after going public.
Among earnings, Michael Kors blew past earnings expectations and topped revenue estimates, as same-store sales surged and the company added new stores, sending shares up 11.88%.
Adding to gains, Avon Products rallied 12.04% after the beauty and personal products company posted better-than-expected earnings.
Meanwhile, Coca-Cola plunged 1.66% after the beverage giant posted revenue that was slightly below expectations.
Other stocks in focus included Goodyear Tire & Rubber and Western Union, due to report results later in the day.
Across the Atlantic, European stock markets were higher. The EURO STOXX 50 rose 0.34%, France’s CAC 40 advanced 0.35%, Germany's DAX edged up 0.08%, while Britain's FTSE 100 climbed 0.62%.
During the Asian trading session, Japan’s Nikkei 225 Index rallied 1.94%, while Hong Kong's Hang Seng Index remained closed for a national holiday.
Later in the day, the U.S. was to release data on the federal budget balance.