Stocks open lower after Tuesday's record highs

Written By limadu on Rabu, 28 Mei 2014 | 21.29

NEW YORK (CNNMoney)

Here are the key things to keep your eye on throughout the trading day:

Not looking good for more record highs today: The S&P 500 hit a record high on Tuesday, and investors are watching to see if the five-year bull market can continue its steady march upward.

"We continue to see a market that feeds on upward momentum," said Peter Cardillo, chief market economist at Rockwell Global Capital.

But after a strong performance at the close of May, he projected that the market will hit a "short term top" in June and trade "sideways" until a new catalyst comes along. "The market needs to take a breather," he said.

Retail stocks on the move: Sometimes the shoe really doesn't fit. DSW (DSW), a discount shoe outlet, lost a quarter of its market cap in early trading, as earnings came in at the lower end of expectations and same-store sales growth fell 3.7% from the year before.

Michael Kors (KORS) reported results before the opening bell, and profits were a bit better than expected. The stock is flat in early trading. Kors shares are up more than 17% since the start of the year as the brand seems to be winning the battle for upper middle class purse consumers.

Related: Coach is going out of fashion among investors

Homebuilder stocks picking up: Toll Brothers (TOL) reported surprisingly strong earnings before the open, bouncing back from a disappointing start to the year because of the winter weather. Revenue was closer in line with expectations. Shares were up 3% in early trading, before falling back.

A handful of other homebuilder stocks are also seeing some small gains as well, including D.R. Horton (DHI), Lennar (LEN) and PulteGroup (PHM).

Related: CNNMoney's Tech30

International movement

European markets were tipping lower towards the end of trading, while Asian markets ended mostly higher. The Shanghai Composite led the way with a 0.8% jump. To top of page

First Published: May 28, 2014: 10:07 AM ET


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