Stocks set to tumble
Investors show little reaction to employment report; await Bernanke's comments on federal budget.
NEW YORK (CNNMoney.com) -- U.S. stocks were poised to fall Wednesday, as investors showed little reaction to the latest on job cuts and awaited comments from Federal Reserve chairman Ben Bernanke.
At 7:45 a.m. ET, Dow Jones industrial average, S&P 500 and Nasdaq 100 futures were lower.
Futures measure current index values against perceived future performance and offer an indication of how markets may open when trading begins in New York.
U.S. stocks ended in positive territory Tuesday, boosted by an increase in pending home sales and a smaller-than-expected decline in auto sales, but gains were modest and trading was volatile.
Ken Wattret, economist with BNP Paribas in London, said investors are still worried about the economy, particularly the job market.
"The sense we have is that the labor market is still extremely weak," said Wattret. "The worst is behind us, but nonetheless it's still a very difficult environment. If you have a job, you're worried about losing it. If you don't have a job, you're struggling to get one."
Jobs: The outplacement firm Challenger, Gray & Christmas released a report showing that job cuts by U.S. employers totaled 111,182 in May, a 16% decline from 132,590 in April.
That's followed by a report on private-sector jobs from payroll manager ADP at 8:15 a.m. ET.
The two readings come ahead of the U.S. Labor Department's monthly report on employment, which comes out Friday.
Autos: A federal court agreed Tuesday to hear a challenge by pension funds opposing the sale of Chrysler's assets to Fiat. Arguments in the appeal will be held Friday and could delay Chrysler's emergence from bankruptcy.
The Senate Commerce Committee is due to hold a hearing on the bankruptcies of Chrysler and General Motors (GMGMQ) at 2:30 p.m. ET.
Economy: Bernanke is due to appear before the House Budget Committee at 10 a.m. ET. The Fed chief will discuss the condition of the federal budget.
Companies: Stocks to watch include Fannie Mae (FNM, Fortune 500) and Freddie Mac (FRE, Fortune 500), whose future will be discussed at a hearing held by a House Financial Services subcommittee.
World markets: Asian stocks finished in positive territory. But in Europe, major markets were lower in midday trading.
Oil and money: The dollar rose versus the major international currencies, including the euro, the yen and the British pound. The price of oil rose 76 cents a barrel to $67.79. 
