Greece Deal Fails to Rally Market In Early Trading

All signs were pointing to a rally today as EU finance ministers finalized Greece’s second bailout package late last night. It looks like the deal has been met with skepticism as investors wonder what will happen after elections in Greece this spring. Stocks have already seen a good first month and a half of 2012, we could be seeing some profit taking today as well. Right now the Dow, Nasdaq and S&P 500 are up a fraction of a percent.

Earnings continue to come out at a brisk pace this week. Home Depot, Wal-Mart, Kraft and Macy’s are just a few of the companies that have already reported today.

Home Depot (NYSE:HD) shares are up more than 1% today after the company posted better than expected earnings.

Wal-Mart (NYSE:WMT) on the other had is down sharply after reporting earnings below expectations. Wal-Mart cut their prices during the holiday season in order to get shoppers out, but as a result saw a dip in profits.

Kraft (NYSE:KFT) and Macy’s (NYSE:M) are both rallying in early trading after posting results that were either in line with estimates or exceeded estimates.

Traders will have their eyes on Dell (NASDAQ:DELL) and Chesapeake Energy (NYSE:CHK) when they release earnings after market close today. Consensus for Dell is for EPS of $0.51 per share with revenue of around $16 billion.

Overall the market is looking a little toppy here since a Greek deal should have sent the market higher. The last time the Dow had any meaningful pull back was back in late November and in the middle of December. Since then the Dow has rallied more than 1,000 points.

Investors will be paying close attention to U.S. economic data coming later this week including jobless claims and consumer sentiment.