Yahoo also rallied after the Internet company posted quarterly results that easily beat expectations on Monday with new Chief Executive Marissa Mayer at the helm.
Facebook is scheduled to post results after the close. Analysts expect the social-networking giant to post earnings of 11 cents a share on revenue of $1.23 billion.
Meanwhile, Apple is hosting an event in San Jose, Calif., at which it is widely expected to unveil a new smaller iPad. Apple jumped nearly 4 percent in the previous session, propping up a recovery in technology stocks.
The Federal Open Market Committee begins its two-day meeting, with the announcement due Wednesday afternoon. The Fed is expected to hold back on further stimulus measures in order to assess the impact of its third round of quantitative easing, launched last month. (Read More: Bernanke Probably Won't Stand for Third Term at Fed)
In addition, the Treasury is set to auction $35 billion in two-year notes, with the results available shortly after 1pm ET. In total, $99 billion in U.S. debt will be sold this week, with auctions of 5-year and 7-year notes on Wednesday and Thursday, respectively.
—By CNBC's JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)
Coming Up This Week:
TUESDAY: Richmond Fed manufacturing index, 2-yr note auction, FOMC meeting begins, Apple event; Earnings from Amgen, Facebook, Netflix, Gilead Sciences
WEDNESDAY: Weekly mortgage apps, new home sales, FHFA home price index, oil inventories, 5-yr note auction, FOMC mtg announcement; Earnings from AT&T, Boeing, Bristol-Myers, Delta, Eli Lilly, Akamai, Symantec, Zynga
THURSDAY: Durable goods orders, jobless claims, Chicago Fed nat'l activity index, pending home sales, Kansas City Fed survey; Earnings from Altria, AstraZeneca, ConocoPhillips, P&G, Aetna, AutoNation, Credit Suisse, Dow Chemical, Pulte, Sprint, United Continental, Apple, Amazon.com, Coinstar
FRIDAY: GDP, consumer sentiment, Windows 8 released; Earnings from Comcast, Merck
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