In company news, FedEx reported a bigger-than-expected quarterly profit, thanks to its ground shipment business and amid lower jet fuel prices. But the company, considered a bellwether for economic activity, issued disappointing guidance.
Adobe surged to lead the S&P 500 gainers after the software maker beat earnings expectations and said it expects the number of paid subscribers for Creative Cloud in the current quarter to top the 221,000 subscribers who signed up in the second quarter, increasing the total to 700,000.
Micron Technology, Red Hat and Jabil Circuit are expected to post earnings after the closing bell.
Men's Wearhouse declined after men's apparel retailer said it terminated CEO George Zimmer, providing no immediate reason for the ouster. In addition, the company postponed its annual shareholder meeting to renominate the existing slate of directors without Zimmer.
Following the termination, Zimmer told CNBC, "Over the past several months I have expressed my concerns to the Board about the direction the company is currently heading. Instead of fostering the kind of dialogue in the Boardroom that has in part contributed to our success, the Board has inappropriately chosen to silence my concerns through termination as an executive officer."
Meanwhile, Dish Network Corp said it would not make a new offer to buy No. 3 Sprint Nextel, and would instead focus on its tender offer for Clearwire Corp.The decision may be good news for Japan's SoftBank, which is also trying to buy Sprint.
On the economic front, interest rates on home mortgages gained for the sixth-straight week to hit their highest level in over a year, according to the Mortgage Bankers Association, pushed higher by worries that the Fed could slow its stimulus program sooner than expected.