All eyes will be on Cisco Tuesday, as the networking equipment maker reports earnings after the closing bell. Asian markets were mixed, Europe moved down, and the Dow is set to open flat to slightly lower.
After pulling techs down Monday following a Barron's report that questioned its valuation, Cisco Systems (Nasdaq: CSCO) may be have the power to turn things around with its earnings report Tuesday.
The networking equipment maker is expected to earn 13 cents a share in the quarter.
Earnings out before Tuesday's bell include PSINet (Nasdaq: PSIX), Microvision (Nasdaq: MVIS) and Convergent Communications (Nasdaq: CONV).
Stocks to be among Tuesday's other most actively traded issues include Computer Associates, IBM, Excite@Home, 3Com, VoiceStream and Xicor.
A report on wholesale inventories is the only economic news for Tuesday; inventories are expected to have risen 0.6 percent in March.
The Nasdaq Composite Index slid 147.44 to 3669.38 at Monday's close. The S&P 500 dropped 8.46 to 1424.17. The Dow Jones Industrial Average rose 25.77 to 10603.63.
At the Bell
The Dow Jones industrial average may open about 3.7 points lower. The Standard & Poor's 500 index for June futures contracts was down 0.5 to 1429 at 7:31 a.m. EST in 24-hour electronic trading.
The Inter@ctive Week @Net Index was down 21 to 480.55.
Trading in Asia was mixed. The Nikkei 225 fell 1.95 to 17,844, Singapore's Strait Times index gained 0.49 percent to 2,089 and Hong Kong's Hang Seng was down 0.83 percent to 14,776.
European markets were moving down. London's FTSE 100 climbed 0.64 percent to 6,176. The CAC 40 in Paris slipped 1.75 percent to 6,400 and the Xetra DAX in Frankfurt was down 1.61 percent to 7,288 at 7:15 a.m. EST.
Reuters contributed to this report.