Futures Point to Weak Start for U.S. Stocks

In earnings, machinery manufacturer Joy Global (JOYG Quote) reported fiscal third-quarter earnings that beat analyst estimates and raised its 2008 forecast. Office-supplies retailer Staples (SPLS Quote) reported that second-quarter earnings dropped 16% year over year.

In the realm of commodities, crude oil was declining $1.30 to $108.41. Gold was down $2.30 at $808.20.

Shifting to economic data, employment consultancy Challenger, Gray & Christmas announced that employers announced job cuts totaling 377,325 for the summer, a 30% increase over spring layoff numbers.

Later, auto manufacturers will be revealing their August sales figures. The Census Bureau will also release data on factory orders for July. The Federal Reserve's so-called beige book, which contains anecdotal data on the state of the economy, will come out in the afternoon.

Longer-dated U.S. Treasury securities were gaining slightly. The 10-year was adding 2/32 to yield 3.73%, and the 30-year was up 4/32, yielding 4.35%. The dollar was gathering strength against the euro and pound but was slightly lower against the yen.

Overseas exchanges were mainly trading lower. The FTSE in London, the Dax in Frankfurt and the Hang Seng in Hong Kong were showing weakness, while the Nikkei in Japan was up slightly.