Stock futures were lower this morning, indicating a similar start on Wall Street as a day of profit taking seems to be ahead to snap-up a three-day winning streak. Federal Reserve Chairman Ben Bernanke heading to congress today to discuss the economy while the dollar reached a new against the euro and several other currencies.On Tuesday, stocks rallied despite some weak data on the housing sector, inflation and consumer confidence. Instead, a $15 billion stock buy-back plan from International Business Machines (NYSE: IBM) triggered a surge in the markets with the Dow industrials rising 114 points, or 0.91%, the S&P 500 gaining 9 points, or 0.69% and the Nasdaq Composite rising 17 points or 0.75%. IBM finished the day up 3.91%.
Data today includes, January durable-goods orders, which is expected to have declined 4%, to be released at 8:30 a.m. EST. At 10:00 a.m., new-home sales for January will be reported, again expected to show a decline.
At 10:00 a.m., also, all eyes will be on Fed chief Bernanke as he gives Congress a fresh assessment of the country's economic health when he testifies before the House Financial Services Committee. Of course, the economy has been hurt by a correction in the housing sector, a credit crunch and soaring energy prices. Many would be interested in the balancing act of stimulating the economy while trying to keep somewhat of a lid on the already higher inflation as evidenced from yesterday's PPI report (being just the latest data). If today's weakening dollar is any indication, then investors, at least, expect the Fed to keep on cutting rates.
No doubt, though, that this early in the morning, investors are digesting mainly the low dollar and the high gold and oil prices. The euro climbed to a record high of $1.5057 in early European trading on Wednesday. While a weaker dollar may be beneficial to exporters, many see it also as indication of a troubled economy.
Meanwhile, oil prices broke through a new intraday high of $102 a barrel Wednesday due to the slide in the U.S. dollar. At 10:30 a.m., weekly crude inventories should be released and is expected to show an increase in stocks.
Overseas, Asian markets finished the day higher, but European markets declined on mounting concern over earnings as HBOS Plc, the U.K.'s biggest mortgage lender.
In corporate news, the European Union fined Microsoft Corp. (NASDAQ: MSFT) a record $1.3 billion on Wednesday for charging rivals too much for software information. Following its recent statement on open software, Microsoft said these fines were about past issues.
Luxury homebuilder Toll Brothers (NYSE: TOL) swung to a first-quarter loss of $96 million, or 61 cents per share, after taking hefty writedowns amid the housing slump. Excluding writedowns and one-time events, the company earned $57.3 million, or 35 cents per share, compared to $54.3 million, or 33 cents per share in the same period last year. Sales fell 23% to $842.9 million. Analysts expected a loss of 50 cents per share, on sales of $818.2 million.
Why is gold making a new high, trading at $1,118.00 per ounce?
Chasing Value: Ten stocks for 2010 -- Part 1 
Closing Bell: A six-day rally (AIG, REGN, M, MOT, PALM, RIMM)
