Jittery on Wall Street

NEW YORK (CNNMoney.com) -- Stocks were poised to slide at Thursday's open as investors digested weak corporate earnings and awaited a report on economic growth and Fed chief Ben Bernanke's second day of testimony before Congress.

Less than two hours before the start of trading, Nasdaq and S&P futures were lower, indicating losses at the start for Wall Street.

"The equity market keeps holding out hope that things aren't going to get any worse, but the credit market is telling us that things are continuing to get worse," said Peter Boockvar, market analyst for Miller Tabak.

Downbeat corporate earnings could pressure stocks. Mortgage-finance giant Freddie Mac (FRE, Fortune 500) said its quarterly loss widened to $2.5 billion. Fellow mortgage

Retailer Sears (SHLD, Fortune 500) reported a 47% drop in quarterly net income. The company said results were hurt by worsening economic conditions.

Meanwhile, wireless carrier Sprint Nextel (S, Fortune 500) swung to a huge net loss of $29.5 billion.

Investors will be closely watching a revised reading on fourth-quarter gross domestic product, the broadest measure of the nation's economic activity. Economists are expecting the economy grew 0.8% in the fourth quarter, up from the 0.6% initial estimate.

Initial jobless claims for the week of Feb. 23 are also on tap. They're expected to edge up slightly to 350,000 from 349,000.

Bernanke heads to Capitol Hill today for his second day of testimony. On Wednesday, he suggested that the Fed is likely to keep lowering rates to bolster a weak economy, even as sky-rocketing oil prices raise inflationary pressures.

Stocks ended the session flat Wednesday as investors were torn between the prospect of more rate cuts and weak economic data.

In global trade, Asian markets finished the session mixed. European stocks dipped in midday trading, influenced in part by disappointing full-year updates from French financial insurer AXA (AXA) and the German drug giant Bayer.

Oil prices fell further. Light, sweet crude for April delivery lost 39 cents to $99.25 a barrel in electronic trading.

The dollar remained weak against the euro, which continued to trade above the $1.50 benchmark it hit Wednesday.