Stocks Opened Higher on Upbeat Earnings

U.S. stocks opened higher on Tuesday as several upbeat earnings reports helped indexes higher after a long weekend. The Dow Jones Industrial Average lately added 28.00 points, or 0.17%, at 16,486.56. The S&P 500 gained 9.98 points, or 0.54%, at 1,848.68. The Nasdaq Composite was up 27.49 points, or 0.65%, at 4,225.08.

Forest Laboratories Inc. (FRX) reported that it swung to a profit in the third-quarter and upgraded its outlook for the current quarter. The company now expects earnings of $1.25 to $1.35 per share in the quarter ending in March, compared with a prior range of 95 cents to $1.15.

Verizon Communications posted a massive $1.93 billion loss in the fourth quarter of 2012 as pension expenses and costs associated with Hurricane Sandy took a big toll on the company’s performance.

The Federal Reserve is on track to trim its bond-buying program for the second time in six weeks as a lackluster December jobs report failed to diminish the central bank’s expectations for solid U.S. economic growth this year.

The International Monetary Fund is warning that dangerously low inflation could put the global economic recovery at risk in 2014.