Dow and S&P 500 index futures edged lower on Wednesday as the market continues to show signs of fatigue this week after a strong run from late last year, but the Nasdaq rose on forecast-beating results from Apple Inc
Apple's results on Tuesday were a standout in what has otherwise been a fairly lackluster earnings season. So far 58 percent of companies have beat forecasts while at this stage in the third quarter earnings season, 70 percent had beat forecasts.
Jack De Gan, chief investment officer at Harbor Advisory Corp in Portsmouth, New Hampshire, said a still uncertain outlook for global growth and a renewed standoff in negotiations to solve Greece's debt crisis was making the market pause after rallying over 20 percent from its October lows.
We have got an awful long way to go in dealing with the debt and budget problems (in Europe) and the structural problems ... will take years to work out, he said.
The euro fell from session highs against the dollar and a one-month high versus the yen as worries the European Central Bank would need to take losses on its Greek bond holdings outweighed a strong German business sentiment survey.
S&P 500 futures fell 3 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures were off 37 points, and Nasdaq futures rose 18 points.
Apple was up 8.5 percent to $456.10 in pre-market trading after its quarterly results blew past Wall Street's expectations as U.S. consumers snapped up near-unprecedented numbers of iPhones and iPads, sending its shares up into record territory
Countering Apple there was more weakness in industrial names. Shares of Corning Inc
Up until now there have been pockets of weakness in a handful of companies that have sparked concern among investors, said Andre Bakhos, director of market analytics at Lek Securities in New York.
The U.S. Federal Reserve, which is holding a two-day policy meeting that ends on Wednesday, looks set to keep monetary policy on hold even as it releases forecasts expected to show interest rates will be near zero for at least two more years.
Meanwhile late on Tuesday, U.S. President Barack Obama used his last State of the Union speech before the November election to paint himself as the champion of the middle class, by demanding higher taxes for millionaires and tight reins on Wall Street.
Roche Holding AG
Planemaker Boeing Co
Diversified U.S. manufacturer Textron Inc
European shares <.FTEU3> fell 0.7 percent on Wednesday, weighed by the tech sector after a sharp post-results decline for mobile telecoms network gear maker Ericsson
(Reporting By Edward Krudy; Editing by Chizu Nomiyama)