By Sruthi Shankar
"Their effective tax rate will be declining from 30 percent to 19 percent, that's very meaningful. It should generate more than a billion dollars flowing into the bottom line," said Ron Weiner president and founder of RDM financial in Westport Connecticut.
Wells Fargo fell 0.8 percent after it set aside $3.25 billion in the fourth quarter to cover legal expenses related to probes into its mortgage and sales practices.
Earnings for S&P 500 companies are expected to increase on an average by 12.1 percent in the quarter with profit for financial services companies likely to increase 13.2 percent, according to Thomson Reuters I/B/E/S.
The Nasdaq Composite was up 39.36 points, or 0.55 percent, at 7,251.14.
The S&P consumer discretionary index jumped 0.81 percent after an increase in retail sales showed households bought more goods and figures for the prior month were revised higher, suggesting the economy exited 2017 with strong momentum.
Sales at online retailers soared 1.2 percent.
Another data showed U.S. consumer prices recorded their biggest rise in 11 months in December on gains in the cost of rental accommodations and healthcare, bolstering expectations that inflation will accelerate this year.
Advanced Micro Devices fell 2.66 percent after the chipmaker said its microprocessors are prone to both variants of the Spectre security flaw, days after saying its risk for one of them was "near zero".
Advancing issues outnumbered decliners on the NYSE by 1,557 to 1,220. On the Nasdaq, 1,864 issues rose and 920 fell.
(Reporting by Sruthi Shankar in Bengaluru; Editing by Arun Koyyur)
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)