Stocks set for lackluster open

NEW YORK (CNNMoney.com) -- U.S. stocks appear to be set for a weak open as investors react to job market reports.

Dow Jones industrial average, Standard & Poor's 500 and Nasdaq 100 futures were slightly lower on Wednesday morning, losing their earlier gains after the release of two job reports.

Futures measure current index values against perceived future performance and offer an indication of how markets may open when trading begins in New York.

A rally on Wall Street helped the blue-chip Dow post its second straight gain of more than 100 points on Tuesday. Stocks have gained recently amid solid earnings and signs of stabilization in the economy.

"Yesterday, we saw triple digit increases in the market," said Derek Hoffman, chief executive of Wall St. Cheat Sheet. "I'd say that's attributable to positive earnings reports."

Before the release of the job reports, Hoffman said the gains in futures were being buoyed by strong earnings from Time Warner and News Corp., as well as strong sales from Ford Motor Co. (F, Fortune 500)

Jobs: Two reports on employment come out before U.S. markets open Wednesday.

Outplacement firm Challenger Gray and Christmas reported that January job cuts surged to a five-month high of 71,482. But the ADP payroll report showed a decline in job cuts, to a loss of 22,000 jobs in January, compared to the revised loss of 61,000 jobs in December.

Earnings: Media giant Time Warner (TWX, Fortune 500) posted quarterly earnings of $627 million before the opening bell, or 53 cents per share, which was better than expected. The stock moved up slightly in pre-market trading.

Time Warner owns HBO and CNN, as well as Warner Brothers and an array of magazines. It is also the parent of CNNMoney.com.

AOL (AOL) also reported earnings -- its first time since it regained its independence from Time Warner. The company said it swung to a profit of $1.4 million in the fourth quarter even though sales fell 17% to $809.7 million.

Companies: Troubles keep growing for Toyota Motor (TM). U.S. federal investigators are looking into whether electronics caused the problem with the automaker's recalled gas pedals.

World markets: Asian shares gained. The Hang Seng in Hong Kong soared 2.2%. Gains in Japan were more modest, with the Nikkei adding 0.3%. In Europe, major indexes rose slightly in midday trading.

Cash and bonds: The dollar rose versus most international currencies. The price of the 10-year note fell, pushing up the yield to 3.67%.

Oil and gold: Oil prices slipped 20 cents per barrel to $77.03. Oil climbed above $77 a barrel Tuesday amid anticipation that crude supplies fell more than expected last week.

Gold prices fell $5.40 per troy ounce to $1,112.