Apple earnings will be the main focus after the closing bell in addition to Dow industrial component AT&T. Norfolk Southern, Amgen, and Yum Brands are also among notable companies slated to post results. Apple has lost $287 billion in market capitalization, or 44 percent of its value, since hitting its all-time high in September.
(Read More: Get Ready for Apple Earnings — Decent or Disaster?)
So far, nearly a quarter of S&P 500 companies have reported results this quarter with 69 percent of companies beating and 21 percent missing estimates. Meanwhile, only 41 percent of companies have topped their revenue expectations, while 59 percent have fallen short of forecasts, according to the latest data from Thomson Reuters.
"Overall, earnings have been fine, but not stellar and therefore, there's been a bit of 'sell on the news' mentality," said Trunow. "And we've seen some healthy returns so far this year, so some folks are likely to take some profit amid the earnings season—there's no meaningful catalyst to boost the market in the short term, although I remain bullish in the longer term."
Meanwhile, Asian stocks finished lower after HSBC's preliminary survey of factory managers showed the expansion in factory activity in China eased in April, renewing fears of a slowdown in the world's second biggest economy.
(Read More: Uh-Oh, China's PMI Miss Spells Trouble Ahead)
However, shares in Europe were boosted by better-than-expected PMI (purchasing managers' index) data from France, although Germany posted a sharp drop in business activity.
The government auctioned $35 billion in 2-year notes at high yield 0.233 percent. The bid-to-cover ratio, an indicator of demand, was at 3.63.
—By CNBC's JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)
Coming Up This Week:
WEDNESDAY: MBA mortgage applications, durable goods orders, oil inventories, 5-yr note auction, AB InBev shareholder mtg, Caesar Entertainment shareholder mtg, Citi shareholder mtg, Coca-Cola shareholder mtg, DuPont shareholder mtg, GE shareholder mtg; Earnings from Barclays, Boeing, Credit Suisse, Ford, Eli Lilly, GlaxoSmithKline, P&G, Sprint Nextel, Qualcomm, Aflac, Akamai, Cabot Oil & Gas, Zynga
THURSDAY: Jobless claims, natural gas inventories, 7-yr note auction, Fed balance sheet/money supply, Barclays annual mtg, Herbalife shareholder mtg, Intuitive Surgical annual mtg, J&J shareholder mtg, NYSE Euronext shareholder mtg, Pfizer shareholder mtg; Earnings from Altria, AstraZeneca, Bristol-Myers, ConocoPhillips, ExxonMobil, 3M, UPS, Altera, Baidu, Expedia, Starbucks, Coinstar
FRIDAY: GDP, consumer sentiment, AT&T shareholder mtg; Earnings from Chevron, Honda, DR Horton
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