Market action in the coming week will continue to be driven by earnings news, as more than 800 companies are slated to report quarterly results. Even so, traders also will be busy keeping tabs on the situation in the Middle East. "The possibility of this conflict spreading to other countries appeared to lessen last week," says Robert Pavlik, chief investment strategist at Oaktree Asset Management. "However, an Israeli invasion into southern Lebanon will likely refocus attention on the region, resulting in an increase to the terror risk premium in the price of crude oil." The earnings onslaught begins on Monday with the likes of American Express ( AXP), Kraft ( KFT), Netflix ( NFLX) and Texas Instruments ( TXN). Drugmakers Merck ( MRK) and Schering-Plough ( SGP) are also on tap to report second-quarter results Monday. Analysts polled by Thomson First Call expect Merck to post earnings of 65 cents a share, up from 62 cents a year ago, on $5.44 billion in revenue. Meanwhile, Schering-Plough is expected to earn 17 cents a share, up from 13 cents last year, on $2.64 billion in sales. On Tuesday, the earnings lineup includes several big hitters, including Dow components Altria Group ( MO), 3-M ( MMM) and DuPont ( DD). Fellow Dow member McDonald's ( MCD) also is slated to announce results. Mickey D's already said last week that it expects to post earnings of 67 cents a share, including a gain of 10 cents a share from the sale of Chipotle ( CMG) and extra expenses totaling 2 cents a share. Analysts project earnings of 57 cents a share on $5.42 billion in revenue. On the tech side, look for earnings reports from Amazon.com ( AMZN)and Sun Microsystems ( SUNW) Tuesday. Wednesday will feature reports from ConocoPhillips ( COP), Boeing ( BA), Symantec ( SYMC) and WellPoint ( WLP). And auto-industry watchers will see if the second quarter was more kind to General Motors ( GM) than it was to Ford ( F), which posted gloomy results last week. Analysts, on average, predict that GM will report a profit of 52 cents a share, reversing a year-earlier loss of 56 cents a share.