Wall Street looks to snap losing streak

NEW YORK (CNNMoney.com) -- Stock were poised for a much-needed rebound Tuesday as central banks around the world tackled the credit crunch and Goldman Sachs and Best Buy delivered with strong quarterly earnings.

At just before 9 a.m. ET, Nasdaq and S&P futures were sharply higher, suggesting gains at the start for Wall Street.

"Basically we're looking at a little bit of a technical bounce," said Peter Cardillo, chief market economist at Avalon Partners. "All this could change if housing (starts) is weaker than expected."

Stocks have posted heavy losses in recent sessions amid worries about the credit crisis and slowing U.S. economy, but investors may be encouraged by recent moves central banks worldwide have taken to loosen up the credit markets.

Late on Monday the European Central Bank said it would allow its member banks to tap unlimited amounts of funds at a fixed rate for a two-week period. The move came on the same day that the Fed began a series of auctions aimed at getting banks to boost their lending to businesses and consumers.

Starting Tuesday, the Bank of England will auction off $23 billion to lenders as part of the joint effort to alleviate the ongoing credit crisis.

The Fed is also due to unveil later on Tuesday a plan that would give borrowers of home loans new protections against shady lending practices. Loose lending practices have been partly blamed for the current subprime mortgage crisis.

On the earnings front, Goldman Sachs (GS, Fortune 500) reported net revenue of $10.74 billion, net earnings of $3.22 billion, and a net earnings per share of $7.01 for the fourth quarter. The bank has fared much better than its rivals in the face of the mortgage crisis.

Minneapolis-based Best Buy (BBY, Fortune 500) posted net income of $228 million, or 53 cents a share in the quarter, which included Black Friday, or the day after Thanksgiving which marks the start of the holiday shopping season. That compares to net income of $150 million, or 31 cents a year earlier and was well ahead of estimates.

Late Thursday, software maker Adobe Systems (ADBE) posted better-than-expected results and said it planned to expand upon a previously announced buyback plan, buying an additional 30 million shares.

In other corporate news, Apple Inc. (AAPL, Fortune 500) has been in talks with two leading wireless carriers in Japan as it continues its global rollout of its wildly popular iPhone, the Wall Street Journal reported Tuesday.

Also due before the opening bell are reports on housing starts and building permits in November, which should offer the latest snapshot of the housing slump. Economists surveyed by Briefing.com expect the pace of housing starts to fall to 1.17 million from 1.23 million in October.

In global trade, Asian stock markets finished the session mixed, and European stocks gained in midday trade.

The dollar was narrowly higher against the euro and gained against the yen.

Oil prices ended its recent slide. Light, sweet crude for January delivery gained $1.09 to $91.72 a barrel in electronic trading.