Paint the Table

[Foxlette]

NEW YORK (CBS.MW) -- U.S. shares are poised for gains on Tuesday following the long holiday weekend. The earnings floodgates will be wide open this week, with about 30 percent of S&P 500 companies to reports their results.

In the futures markets, the March S&P 500 contract ascended 6.70 points, or 0.6 percent, and was trading about 7.20 points above fair value, according to HL Camp & Co. Nasdaq futures, meanwhile, rose 18.50 points, or 1.2 percent and were trading 3.50 points above fair value.

Among shares trading before the official opening bell, biotech stock ImClone Systems (NasdaqNM: IMCL - news) is set to put additional pressure on the sector after tumbling almost 30 percent on Friday and losing another 11 percent in the pre-open Tuesday.

A U.S. House committee is launching a probe into the clinical trials for Erbitux and ImClone's dealings with the U.S. Food and Drug Administration.

In the meantime, Credit Suisse First Boston cut its 2003-2004 earnings estimates for Bristol-Myers Squibb (NYSE: BMY - news) on anticipated delays in the launch of Erbitux. Bristol owns 20 percent of ImClone and has licensed the rights to co-market Erbitux.

In the Net sector, Amazon (NasdaqNM: AMZN - news) rallied 12 percent in trading before the opening bell after the e-tailer posted a fourth-quarter profit from operations vs. the expected loss.

And Lucent Technologies (NYSE: LU - news) added 11 cents in Instinet to $6.80 after posting a fiscal fourth-quarter loss that was narrower than expectations. Looking ahead, Lucent said it expects sales to grow 10 to 15 percent sequentially in the second quarter.

Dow companies report
International Paper (NYSE: IP - news) posted a fourth-quarter profit from operations that surpassed Wall Street's expectations, but on lower-than-expected revenue. Going forward, the paper giant it expects a "weak" first quarter and improvement in the second quarter.

And Merck (NYSE: MRK - news) reported fourth-quarter earnings that matched Wall Street's expectations on revenue that surpassed projections. Merck added that it remains comfortable with the outlook provided on Dec. 11, which projected 2002 earnings-per-share to come in at the same level as 2001 and double-digit EPS growth for 2003.

Treasury focus
Government bonds took a hit across the board on expected sturdiness in the stock market.

The 10-year Treasury note slipped 12/32 to yield 4.94 percent while the 30-year government bond erased 10/32 to yield 5.38 percent.

In economic news, December leading economic indicators and the December Treasury budget statement will be out.

This week will be extremely light in terms of economic news. But investors will again hear from Alan Greenspan on Thursday, with the Fed chair scheduled to testify before the Senate Budget Committee.

In the currency sector, the dollar ran up 1 percent to 134.23 yen. The Japanese currency is now trading at its lowest level since September 1998. The euro, meanwhile, changed hands close to flat levels at 88.31 cents.