Updated from 9:13 a.m. EDTStocks in New York opened lower Friday following the release of discouraging housing data and a late, sharp rally during the previous session. The Dow Jones Industrial Average was down 214 points at 8765, and the S&P 500 was losing 25 points to 921. The Nasdaq was lower by 37 points at 1681. On Thursday, stocks rose fast in the final hour of an erratic session, as traders examined a mass of earnings statements and discouraging economic data. Trouble in the financials persisted ahead of the new day's session. Bond insurer Ambac ( ABK), along with some of its competitors, was working to petition the Treasury Department so that it could sell troubled assets to the government, according to a report by Bloomberg. Bloomberg also reported that the New York Federal Reserve was in talks to create a clearinghouse for the $55 trillion credit default swaps market. As earnings season hit full stride, Capital One ( COF) posted a third-quarter profit that missed analysts' expectations. Earnings from the tech sector also were in the spotlight. IBM ( IBM) said it would meet full-year estimates after reporting increased third-quarter profit on cost reductions and strong international sales. Meanwhile, Internet search firm Google ( GOOG) beat estimates for the third quarter and said that its business could withstand a recession. Sony Ericsson, a joint venture between Sony ( SNE) and Ericsson ( ERIC), reported a third-quarter loss on restructuring charges. Defense firm Honeywell ( HON) saw income rise year over year and beat analyst estimates.