Stocks are little changed this morning as indexes pause near resistance and investors wait for key news later this week.
The Dow Jones Industrial Average, S&P 500 and Nasdaq-100 are indicated to open slightly below the levels where the closed on Friday. Markets overseas also traded in narrow ranges, with no major benchmark rising or falling by more than half a percent.
The S&P 500, Dow and Nasdaq have been melting higher as summer vacations in Europe reduce the frequency of negative political headlines from Greece and Spain. The indexes are now back near the same levels where they peaked in late March before problems on the debt-laden continent triggered heavy selling.
While large-cap stocks have been strong, smaller companies associated with risk appetite have struggled. The main question facing investors now is whether to chase winners during a time of the year with typically light volumes, or to fear the next blowup in Europe.
Traders may also look take some cues from the Treasuries market, where the yield on the benchmark 10-year note has recently shot back to its 2011 support level around 1.80 percent. That could potentially reduce selling pressure in bonds and slow gains in stocks.
Calendar events are looming as well. Struggling computer makers Dell and Hewlett-Packard report earnings after the bell tomorrow and Wednesday, respectively. Federal Reserve minutes, new home sales and key German economic data are also scheduled for later in the week.
Currencies and commodities are seesawing in a narrow range, with a slight bias toward risk aversion. The euro, British pound and Canadian dollar are all lower against the U.S. dollar. The greenback also fell slightly against the Japanese yen.
The biggest mover in the commodity complex is copper, posting a loss of more than 1 percent. Gold and oil are little changed. Agricultural commodities are all green, led by corn and soybeans.
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