I think the record-high oil prices are still weighing on the market, ... Also, the Merck news is now spilling over to Pfizer, J&J and the blue chips.

I think there's a sense that with oil prices as high as they are, that's carrying over to the consumer, which you're seeing in the retail sales.

Oil continues to dominate trade, with crude at or near the highs. Worries remain about how high prices over the long term will impact consumer spending, the economy and interest rates.

The Cisco news isn't that significant, but maybe it's enough to influence people who were looking to get out. The S&P 500 had recently been right near its late December highs, so it's not too surprising to see this consolidation.

The market is reacting to the rise in oil prices and the conflicting economic news.

Those high oil prices are a burden on U.S. families, on firms' production costs. But the good news is that at least so far the U.S. economy has not been slowed by the high energy prices.