Stocks Opened Lower on Earnings Before GDP Report

U.S. stocks opened slightly lower on Wednesday, as investors weighed corporate earnings before a report that may show a contraction in economic growth. The Dow Jones Industrial Average lately fell 16.03 points, or 0.10%, to 16,659.47. The S&P 500 was up 1.54 points, or 0.08%, to 1,913.45. The Nasdaq Composite was off 1.88 points, or 0.04%, to 4,235.19.

Michael Kors Holdings Ltd. said its fiscal fourth-quarter profit surged 59% as the retailer posted a robust rise in sales across regions. For the quarter ended March 29, Michael Kors reported earnings of $161 million, or 78 cents a share, up from $101.1 million, or 50 cents a share, in the prior year.

Toll Brothers Inc. said its fiscal second-quarter profit more than doubled as the home builder continued to benefit from higher home prices and more deliveries. For the quarter ended April 30, Toll posted a profit of $65.2 million, or 35 cents a share, up from $24.7 million, or 14 cents a share, a year earlier.

Canadian drugmaker Valeant Pharmaceuticals International Inc raised the cash component of its unsolicited offer for Botox-maker Allergan Inc, valuing the U.S. firm at $49.44 billion and ratcheting up pressure on the target company.

The Federal Trade Commission asked Congress to establish new limitations on data brokers and how they collect and use consumer information.

A top European Central Bank official signaled on Wednesday that the central bank stands ready to act next month in the face of a low inflation that threatens the flagging euro zone economy.