U.S. stock futures were flat Tuesday, after major averages hit multi-year highs last Friday, as investors hesitated to jump in ahead of several major earnings reports.
Markets were closed Monday for Martin Luther King Day. On Friday, the Dow and S&P 500 climbed during the last hours of trading to finish the week at their highest levels since December 2007. Markets were closed for the Martin Luther King national holiday on Monday.
"With equities looking technically overbought in the short term, Obama's return to the daily grind should see a heating up of the debt ceiling debate which could see short term investors heading for the sidelines," wrote Mike McCudden, head of derivatives at stockbroker Interactive Investor. (Read More: Obama Lays Out Battle Plan as Second Term Kicks Off)
Verizon edged lower after the telecom company posted weaker-than-expected wireless operating profit margin.
Meanwhile, Johnson & Johnson reported a better-than-expected profit, but shares slipped after the drugmaker took another special charge and forecast 2013 earnings below estimates.
"This week is so very important for the S&P 500 because the Nasdaq 100 is about 140 points off 2012 highs and lagging the major indices right now, and buyers don't want to see the technology sector—the Nasdaq in particular—lagging the major indices," according to Anthony Crudele, founder and CEO of E-mini Executors.
On the economic front, existing home sales is scheduled to be reported at 10 am ET.
In Europe, the FTSEurofirst 300 Index edged lower as investors remained cautious after recent market gains and as Deutsche Bank shares were hit by rumors about a profit warning and regulatory action. Asian shares, meanwhile, ended mixed on Tuesday after the Bank of Japan (BOJ) announced a doubling of its inflation target to 2 percent and adopted a policy of open-ended monetary easing.
—By CNBC's JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)
Coming Up This Week:
TUESDAY: Existing home sales, Richmond fed mfg index; Earnings from Google, IBM, AMD, Texas Instruments
WEDNESDAY: Weekly mortgage applications, FHFA home price index; Earnings from McDonald's, United Tech, Abbott Labs, Coach, WellPoint, Amgen, Apple, F5 Networks, Netflix, Sandisk, Symantec, Western Digital
THURSDAY: Jobless claims, PMI manufacturing index flash, leading indicators, oil inventories, Fed balance sheet/money supply; Earnings from 3M, Bristol-Myers, Nokia, Xerox, AT&T, Microsoft, E-Trade, Juniper Networks, Starbucks
FRIDAY: New home sales, Geithner's last day as Treasury Secretary, House recess until Feb. 4; Earnings from P&G, Halliburton, Honeywell, Kimberly-Clark
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