Market Talk

Geared up for heavy flow of 4Q earnings reports this morning, including AT&T, P&G, 3M and Ford; Microsoft and Amazon report after the closing bell.

Premarket tone so far is slightly more firm, following some solid gains in Asia overnight and higher European markets. December durable goods, weekly jobless claims due at 8:30am; Kansas City Fed’s January manufacturing index set for 11:00am.

US dollar index edging higher. S&P futures up 5.80, Dow futures up 41; 10-yr lower, yield at 3.66%.

US stocks break four-day winning streak after reports this morning cast some doubt on the strength of the jobs market.

DJIA drops 39 to 9281, S&P 500 eases 3 to 1003, Nasdaq Comp drops 18 to 1993. Stocks are weaker in the morning, with the DJIA falling as much as 114, before buyers come back in the afternoon. Financials surge, limiting losses. Stocks were due for some kind of selloff, so this isn’t much of a shocker. Like they say, stocks never go up in a straight line.

(For some reason, today’s action reminds of us this; thus the headline.)

ADP pegs July jobs losses at 371,000, a little steep for recession-ending calls, especially if Friday’s government report is in that vicinity. ISM’s services index for July takes a step back, as well. Notable here is the step back in ISM’s employment index, given that services sector comprises the vast majority of the jobs in the US. Got a few minutes? Watch Dow Jones’ video recap.

P&G’s earnings show effects of consumer spending trends. Company’s high-end brands like Braun are suffering, and even its more basic brands, like Tide detergent, are suffering as consumers trade down to cheaper brands.

Euro hits year high against dollar. Crude gains 55c, sits just under $72/barrel.

US stock futures point toward a flat open, following a weak session for Asian stocks overnight, and as commodities price slip a bit. But of course these days, the early morning action often has very little to do with the late afternoon action.

P&G’s fiscal 4Q results are out, top line sank more than 10%, but company backs FY10 outlook; shares off 1.9% premarket. Cisco reports after the closing bell.

ADP pegs July’s job losses at 371,000, a bit worse than predictions the number would come in around 350,000. But it’s still bad enough that it’s too hard to call a bottom.

June factory orders, July ISM services index both set for 10:00am.

S&P futures flat; DJ futures down 10. Ten-year lower, yield at 3.73%.