Futures down on Greece ahead of busy earnings day

Stock index futures fell on Tuesday as talks to resolve Greece's debt crisis stumbled again and analysts pointed to a short-term top in equity markets after the S&P 500 posted five days of back-to-back gains.

Euro zone finance ministers rejected an offer by private bondholders to help restructure Greece's debt, sending negotiators back to the drawing board and raising the threat of a messy Greek default.

The Greek debt problem is weighing a bit this morning, said Peter Cardillo, chief market economist at Rockwell Global Capital in New York. It's back to worrying about whether Greece is heading for a soft, messy or technical default.

However, Cardillo said some investors were taking profits after a strong market run, especially given the Federal Reserve's policy announcement due Wednesday. It's a perfect excuse to take profits, he said.

A lack of bad news from Europe since late last year and signs of an improving U.S. economy have helped the S&P 500 run up over 22 percent from lows in October. Investors are now focused on U.S. earnings season, in a critical period this week and next.

S&P 500 futures fell 7.1 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 44 points, and Nasdaq 100 futures lost 10 points.

We continue to see evidence of a short-term peak developing, said Robert Sluymer, a technical analyst at RBC Capital Markets in New York. Within the U.S. equity markets, leading groups are beginning to pause or pull back.

Sluymer saw banks as one sector that may pull back. A recent rally in the sector has encouraged investors after heavy losses last year. There was early evidence of weakness as Bank of America Corp fell 1.8 percent to $7.12 in premarket trade.

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