Yellen said she anticipates that the economy and job market will grow at a "moderate pace" this year and the next, with unemployment continuing to decline. As for monetary policy, she expects "a great deal of continuity" from the Federal Open Market Committee.
She is scheduled to testify before the House Financial Services Committee at 10 a.m. ET.This will be her first appearance since taking the helm of the central bank earlier this month.
On the earnings front, utility company PG&E(PCG) will report before the opening bell. Fossil(FOSL) and TripAdvisor (TRIP)are releasing resultsafter the close.
Sprint(S) shares surged in premarket reporting after the telecom reported better-than-expected improvements in its quarterly loss and also added subscribers.
CVS Caremark(CVS) shares jumped after the drugstore chain reported quarterly increases in sales and profit year-to-year.
Shares of cloud-computing firm Rackspace Hosting(RAX) fell 10% in premarket trading afterCEO Lanham Napier said he would retire.
Shares in British bank Barclays(BCS) fell by roughly 7% in London after it reported a big decline in fourth quarter earnings and said it would cut up to 12,000 jobs.
ETX Capital market strategist Ishaq Siddiqi said investors are growing concerned about CEO Antony Jenkins' ability to run Barclays. The bank's plunging profit and soaring costs "rattle[d] confidence in CEO Jenkins' ability to turn around the business by changing the culture, reshaping the balance sheet and repairing the bank's reputation."