At 7:15 a.m. ET, Dow Jones industrial average and S&P 500 futures were up, while Nasdaq 100 futures were down.

Recession fears have gripped investors this week, resulting in massive selling on Wall Street. Over the past three days, the blue-chip Dow has fallen more than 660 points, or 7%.

Wal-Mart: The world's largest retailer reported third-quarter earnings and sales which were slightly ahead of expectations, but cut its guidance for the full fiscal year ending in January because of currency fluctuations.

Wal-Mart (WMT, Fortune 500) reported earnings of 77 cents per share, up from 70 cents during the same period last year, and an increase of 7.5% in third-quarter sales to $97.6 billion.

Analysts had expected $98.3 billion in sales for the third quarter, and earnings of 76 cents per share, according to a consensus of estimates form Thomson Reuters.

This is a big week for retail, with the Commerce Department due to release its retail sales figures for October on Friday. Economists are expecting a decline of 2.1% from the prior month, according to a consensus of projections by Briefing.com.

Intel warning: Tech shares could be pressured after chip giant Intel (INTC, Fortune 500) warned of a sharp sales drop.

The company said after the market close Wednesday it expects to pull in $9 billion in the fourth quarter, versus its earlier forecast of between $10.1 billion and $10.9 billion.

Intel shares plunged 7% in after-hours trading.

Citigroup: The board of Citigroup (C, Fortune 500) is considering replacing its chairman Sir Win Bischoff, the Wall Street Journal reported, citing people familiar with the matter.

The move comes amid the company's disappointing financial results and falling stock price.

A Citigroup spokeswoman told the newspaper that any report that the board is searching for a new chairman was false.

Oil and currencies: Oil prices, which settled at a 21-month low Wednesday, rebounded slightly.

U.S. crude for December delivery was up 60 cents to $56.76 a barrel in electronic trading on the New York Mercantile Exchange.

The dollar rose against the yen and the British pound but slipped versus the euro. 

At 8:47 a.m. ET, the futures for the Dow Jones industrial average, the Standard & Poor's 500 and the Nasdaq 100 futures were lower.

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

Wall Street turned in another weak performance Tuesday, with the major gauges all losing about 2%.

Overseas markets tracked those losses Wednesday. The Nikkei in Japan fell 1.3%. European markets were mixed.

Treasury Secretary Henry Paulson is expected to provide an update on the $700 billion bailout for finance companies at a press conference scheduled for 10:30 a.m. ET.

A big week for retail: In focus Wednesday were quarterly results from department store operator Macy's (M, Fortune 500), which beat expectations despite its loss. The company reported a loss of 10 cents per share for the third quarter. Analysts had expected a loss of 19 cents per share, according to a consensus of analyst projections from Thomson Reuters.

Macy's is among a number of retailers reporting results this week. Wal-Mart (WMT, Fortune 500), the world's largest retailer, is slated to report its results Thursday. JC Penney (JCP, Fortune 500) is on tap Friday.

Also on Friday, the Commerce Department will release its retail sales figures for October. Economists are expecting a decline of 2.1% from the prior month, according to a consensus of projections by Briefing.com.

American Express: The credit card issuer is seeking an estimated $3.5 billion in aid from the federal government, according to The Wall Street Journal.

The Federal Reserve, using emergency power, granted approval for American Express (AXP, Fortune 500) to become bank holding company Monday.

Oil and currencies: Oil prices fell below $59 a barrel. U.S. light crude for December delivery shed 87 cents to $58.46 a barrel.

The dollar slipped against the euro and the yen, but edged up versus the British pound. 

The Dow Jones industrial average (INDU) lost 160 points, or 1.7%, in the early going. The Standard & Poor's 500 (SPX) index lost 1.9% and the Nasdaq composite (COMP) shed 1.5%.

Stocks declined Monday, as recession fears overshadowed any relief about the U.S. government's restructuring of the bailout for AIG (AIG, Fortune 500) and China's $586 billion economic stimulus plan.

Government offices and Treasury markets are closed for Veterans Day, leaving the focus on corporate news and fluctuations in commodity markets.

Global markets weakened. Hong Kong's Hang Seng index plunged 4.8%, while Tokyo's Nikkei ended down 3%. European stocks fell in midday trading.

AmEx: The Federal Reserve, using emergency power, granted approval for American Express and its Travel Related Services to become bank holding companies after markets closed Monday.

The move will give AmEx (AXP, Fortune 500) greater access to Federal Reserve funding and government rescue programs.

AmEx shares fell 4% Tuesday morning nonetheless.

Retail: Investors are focused on retailers, expected to report fiscal third-quarter results throughout the week.

Late Monday, Starbucks (SBUX, Fortune 500) reported weaker earnings and higher revenue, both of which missed estimates. Shares declined about 3% Tuesday morning.

Macy's (M, Fortune 500), which will report Wednesday, and JC Penney (JCP, Fortune 500), scheduled for Friday, are both expected to post losses, according to analysts surveyed by Thomson Reuters.

Wal-Mart (WMT, Fortune 500), the world's largest retailer in a torpid industry, is expected to report Thursday a 10% gain in earnings per share, according to analyst consensus from Thomson Reuters. On Friday, the Commerce Department is expected to report a 2.1% in overall retail sales for October, not including automobile, according to economist consensus.

Automakers: President-elect Barack Obama discussed the urgent need for help for the auto industry during a meeting Monday with President Bush, according to aides.

"It was a discussion about the broad health of the industry" that was not just limited to just any one of the nation's three largest car makers, Obama spokesman Robert Gibbs said.

Automakers General Motors (GM, Fortune 500), Ford (F, Fortune 500) and Chrysler have been pushing for aid on Capitol Hill.

House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid have asked the Bush administration to consider expanding the $700 billion bailout for financial firms to include automakers.

Oil and money: Oil prices tumbled to near an 18-month low, trading at around $60 a barrel. U.S. crude for December delivery lost $2.66 to $59.75 a barrel in electronic trading on the New York Mercantile Exchange.

The dollar slipped versus the yen, but rose against the euro and the British pound.
 

The Dow Jones industrial average (INDU) lost 0.8%. The Standard & Poor's 500 (SPX) index lost 1.3% and the Nasdaq composite (COMP) shed 1.9%.

All three major gauges had risen in the early going, before abandoning gains and turning lower.

Monday brought plenty of corporate news, including AIG's loan restructuring, Circuit City's bankruptcy and more weakness for the automakers.

"When the top companies are giving the kind of guidance they're giving and announcing layoffs, that tells you we are looking at at least a few more quarters of this recession," said John Wilson, chief technical strategist at Morgan Keegan.

In global news, China announced a $586 billion stimulus package, aimed at tempering the impact of the global financial crisis.

"I think right now the market is grappling with the length and the duration of the recession," said Wilson.

Stocks fell last week but managed to gain Friday despite a brutal October jobs report and GM's massive quarterly loss.

After the close, Starbucks (SBUX, Fortune 500) reported weaker earnings and higher revenue, both of which missed estimates. Shares declined about 3% in extended-hours trading.

AIG and Fannie Mae: The federal government said Monday it was restructuring AIG's bailout plan, buying $40 billion in preferred stock, reducing its original $85 billion bridge loan to $60 billion, and cutting the interest rate by 5.5 percentage points. The total reworked deal is worth about $152.5 billion. The reworking acknowledges that the initial plan was insufficient to reverse AIG's slide.

Additionally, AIG reported a steep quarterly loss of $24.5 billion in the third quarter. Shares gained 8%.

Fannie Mae (FNM, Fortune 500), another company that nearly went under as a result of the subprime mortgage crisis, reported a steep quarterly loss of $29 billion. A large portion of the loss was due to a change in the way it accounted for tax credits. But even without that, results were far worse than a year ago, due to bad mortgage bets. In September, the government took over Fannie Mae and Freddie Mac. Shares fell 2.7%. (Full story)

Citigroup (C, Fortune 500) is reportedly in talks to buy an unnamed regional bank, in the aftermath of its failure to buy Wachovia (WB, Fortune 500) last month, according to The Wall Street Journal. Shares fell 5%.

A number of financial stocks fell, including American Express (AXP, Fortune 500), Goldman Sachs (GS, Fortune 500), Bank of America (BAC, Fortune 500) and Merrill Lynch (MER, Fortune 500).

Automakers: The companies continued to plunge amid worries about their ability to stay afloat without government intervention. General Motors (GM, Fortune 500) lost 23% and Ford (F, Fortune 500) lost 4.5%.

Both companies, along with Chrysler, are seeking help from the U.S. government. On Friday, GM posted a steep loss and said it is running out of cash.

Other company news: Package-delivery firm DHL became the latest corporation to announce massive layoffs. DHL said it will cut 9,500 jobs as it ends air and ground operations within the U.S., focusing only on deliveries between the U.S. and other nations. (Full story)

The recession has sparked layoffs in a number of industries, with the Labor Department reporting on Friday that the 2008 tally stands at 1.2 million.

Circuit City (CC, Fortune 500) said last week that it would cut 17% of its domestic workforce and close 150 stores amid the sluggish economy and consumer spending slowdown. On Monday, the company filed for bankruptcy protection. (Full story)

On the upside, McDonald's (MCD, Fortune 500) said worldwide sales at stores open a year or more jumped 8.2% in October, thanks to overseas consumers and demand for cheap food amid the recession. Shares gained 1.8%.

Telecom company Nortel Networks (NT) reported a quarterly loss versus a profit a year ago, and also said it was cutting 1,300 jobs. Shares fell 18.8%.

American Capital Strategies (ACAS) reported a quarterly loss and said it was suspending its dividend. The buyout firm also said it was buying the remaining 32.3% of European Capital it doesn't already own. Shares fell 43%.

Market breadth was negative. On the New York Stock Exchange, decliners beat advancers by more than two to one on volume of 1.14 billion shares. On the Nasdaq, losers topped winners by more than two to one on volume of 1.72 billion shares.

Other markets: In global trade, Asian markets ended higher, with Japan's Nikkei 225 up 5.8%. European markets posted smaller gains, with the London FTSE 100 rising 0.4%.

The dollar gained against the euro and fell versus the yen.

COMEX gold for December delivery rallied $11.40 to settle at $745.60 an ounce.

U.S. light crude oil for December delivery gained $1.37 to settle at $62.41 a barrel on the New York Mercantile Exchange.

Gasoline prices fell another 1.9 cents to a national average of $2.24 a gallon, according to a survey of credit-card activity released Monday by motorist group AAA. The decline marks the 54th consecutive day that prices have decreased. During that same time period, prices dropped by $1.61 a gallon, or 41.9%.

Lending rates: The credit market continued to improve. The 3-month Libor fell to 2.24% from 2.29% Friday, a nearly four-year low, according to Dow Jones. Overnight Libor inched higher to 0.35% from 0.33% Friday, after hitting an all-time low of 0.32% last week. Libor is a key interbank lending rate.

The yield on the 3-month Treasury bill, seen as the safest place to put money in the short term, inched lower to 0.21% from 0.26% Friday, with investors preferring to take a small return on their money rather than risk the stock market.

Treasury prices rose, lowering the yield on the benchmark 10-year note to 3.75% from 3.78% Friday. Treasury prices and yields move in opposite directions.