U.S. stocks slipped Wednesday morning as another bout of earnings results hit traders’ desks, while enthusiasm from the previous session over Federal Reserve Chair Jerome Powell embrace of “disinflation” faded.

The S&P 500 (^GSPC) dipped 0.4%, while the Dow Jones Industrial Average (^DJI) edged down roughly 120 points, or also roughly 0.4%. The technology-heavy Nasdaq Composite (^IXIC) declined 0.6%.

In specific stock moves, Microsoft (MSFT) shares rose 2.7% at the open, building on Tuesday’s 4% advance over enthusiasm for a new version of its Bing search engine running on a more powerful version of OpenAI’s popular ChatGPT natural language AI technology.

Under Armour (UA) was little changed at the open paring a pre-market gain of as much as 3% after the athletic apparel retailer lifted its profit forecast Wednesday morning, benefitting from discounts during the holiday season.

Uber’s (UBER) stock climbed 6.3% after earnings for the last three months of 2022 beat expectations and CEO Dara Khosrowshahi said the company was focused on achieving profitability in 2023 as post-pandemic demand for ride-hailing recovers.

Shares of Chipotle (CMG) sank 4% during the open after the burrito-marker’s earnings disappointed as higher costs for tortillas, dairy, beans and rice, as well as labor costs, ate into profitability.

CVS Health (CVS) shares rose 2.9% in extended trading after the pharmacy chain announced it has agreed to buy Oak Street Health in a $10.6 billion deal, marking its second big acquisition in the health-care in the past two years.

The moves Wednesday morning come after investors cheered remarks from Federal Reserve Chair Jerome Powell at a speaking engagement in Washington D.C. in which he embraced the presence of “disinflation” in the U.S. economy. On Tuesday, the S&P 500 gained 1.3%, the Dow 0.7%, and the Nasdaq 1.9%.

DataTrek’s Nicholas Colas notes that Powell’s comments did not sway the market’s expectations of the likely path of monetary policy this year. The rate-sensitive two-year Treasury yields were unchanged following the speech, Colas pointed out — at 4.46% while federal funds futures were at at 4.50-4.75% — indicating policy rates over the coming 24 months could remain where they are now.

Story continues

“[Yesterday] afternoon’s equity market rally shows markets like Powell’s slow and steady, incoming data-centric approach to monetary policy,” Colas said. “He could have used Friday’s jobs report as an excuse to signal more aggressive policy action in March, but he did not.”

—

Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc

Click here for the latest trending stock tickers of the Yahoo Finance platform

Click here for the latest stock market news and in-depth analysis, including events that move stocks

Read the latest financial and business news from Yahoo Finance

Download the Yahoo Finance app for Apple or Android

Follow Yahoo Finance on Twitter, Facebook, Instagram, Flipboard, LinkedIn, and YouTube