Stocks started lower on Tuesday as investors digested the release of weaker-than-expected Home Depot earnings, mixed economic data and testimony from the top-ranked Federal Reserve official.
The Dow Jones Industrial Average traded just above even after falling more than 100 points earlier in the day. The S&P 500 climbed 0.1 percent while the Nasdaq Composite was also up slightly.
Strong consumer confidence numbers helped stocks rebound. The Conference Board said its consumer confidence index jumped to 131.4 in February, easily topping an estimate of 124. In January, consumer confidence was at 121.7.
Investors also digested testimony from Federal Reserve Chairman Jerome Powell to a U.S. Senate committee on Tuesday. In prepared remarks, Powell said the economy is “healthy” but that the Fed is also seeing “crosscurrents and conflicting signals.” It comes after the U.S. central bank adopted a more cautious stance on future interest rate hikes last month.
Stocks have been on a tear recently, with the Dow and Nasdaq rising a nine-week winning streak. The S&P 500 has risen for eight of the past nine weeks. Diminishing concerns over U.S.-China trade and tighter monetary policy have contributed to the sharp stock gains.