Dow Likely to Open Lower

Dow Jones Industrial Average (INDEX: ^DJI  ) continues to report stronger earnings than expected. The blue chips have climbed in each of the last three days, though futures were pointed downward before open, guiding a 0.6% loss.

With its earnings release after close yesterday, Microsoft (NYSE: MSFT  ) told investors it had an adjusted EPS gain of $0.67, though the company actually lost money over the quarter due to its $6.2 billion write-off of its 2007 aQuantive acquisition. The loss was expected as the software-maker had made it public earlier in this month, but the earnings beat drove shares 1.7% higher in pre-market trading.

GE (NYSE: GE  ) also delivered a slight earnings beat this morning of $0.38 per share versus expectations of $0.37, but revenue was off, and profits were down 18% from last year due to a slowdown in wind turbine sales. The industrial leader did not change its outlook despite weakness in Europe and the overall global economy, and still projects a double-digit increase in profits for the year. GE shares were down slightly before market open.

Tech heavyweight Google (Nasdaq: GOOG  ) also looks to make to gains today, up 3% in off-hours trading, after its earnings report yesterday afternoon. Paid clicks jumped 42% to guide a slight earnings beat, though cost-per-click continued to decline on a year-over-year basis. The company said that Motorola Mobility, which it acquired in May, lost money in the quarter.

Markets in Europe are down today in part as a response to poor U.S. data on unemployment and housing sales yesterday. The eurozone approved a bailout for Spanish banks as 10-year bond yields have again topped 7% on the Iberian peninsula. Vodafone (Nasdaq: VOD  ) , Europe's largest mobile provider, also reported an 8% decline in revenue.

One final item of note -- DirecTV and Viacom resolved a standoff to restore 17 channels that the media company had removed from satellite TV provider's menu on July 10.

No economic reports are due out today.

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Fool contributor Jeremy Bowman owns shares of Google. The Motley Fool owns shares of Microsoft and Google. Motley Fool newsletter services have recommended buying shares of Microsoft, Google, and Vodafone Group. Motley Fool newsletter services have recommended creating a bull call spread position in Microsoft. The Motley Fool has a disclosure policy.

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