Investors appear ready to sell Thursday despite Cisco Systems' solid earnings and sales.
November 6, 2003: 5:28 AM EST
NEW YORK (CNN/Money) - Anxiety about the economy -- particularly the October employment figures and the Fed chairman's overall view -- could overcome enthusiasm about Cisco Systems' strong first-quarter results when U.S. markets begin trading Thursday.
At 5:30 a.m. ET, futures pointed to a solidly lower open for the major indexes.
Cisco, the No. 1 maker of Internet connection equipment, surged above analysts' estimates for earnings and sales late Wednesday. Not only that, but the company said it's seeing signs of a pickup in business, the most optimistic it has been this year.
In Instinet trading, Cisco (CSCO: Research, Estimates) shares rose $1.10 to $22.90.
But economic reports looming over the next two days could cause investors to overlook the positive news for Cisco.
Before the open, the weekly jobless claims report is expected to show a decline to 380,000 in the week ended Nov. 1 from 386,000 the prior week, according to Briefing.com.
Also due is the initial report on third-quarter productivity, which is seen rising 8.5 percent from the second quarter, compared with a 6.8 percent gain in the prior quarter.
For details of Wednesday's mixed performance, click above
The big report comes Friday, when the Labor Department's reading on October employment is due. Current forecasts expect the unemployment rate to hold at 6.1 percent, with 65,000 new jobs created.
Shortly after the markets open Thursday, Federal Reserve Board Chairman Alan Greenspan will address the Securities Industry Association in Boca Raton, Fla. His comments will be gleaned for signs that the most recent reports indicate an economic turnaround -- or that he's not quite ready to declare the recovery that some economists see.
The Dow Jones industrial average is bouncing off a 0.2 percent droop Wednesday. The Nasdaq composite index was 0.1 percent higher (see chart for details).
Asian-Pacific stocks ended mostly lower Thursday, with Tokyo's Nikkei index slumping 2.6 percent. European markets were slightly lower in early trading. (Check the latest on world markets)
Treasury prices were little changed, with the 10-year note yield at 4.35 percent. The dollar was up a little against the yen, but down a little versus the euro.
Brent oil futures slipped 16 cents to $28.23 a barrel in London, where gold was a bit lower.
Also on the agenda for U.S. markets Thursday are the monthly chain-store sales reports for October. Among U.S. stocks in Europe, shares of No. 1 retailer Wal-Mart Stores (WMT: Research, Estimates) were slightly lower
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