Stocks are poised to drop on the open this morning, as weak earnings command most traders’ attention.

Last night JDS Uniphase Corp. reported weak results, as did VeriSign Inc. This has blunted investor sentiment, sending stocks lower in the pre-market.

In Europe, stocks are rallying this morning after yesterday’s selloff. The gains come from bargain hunters and those who are jumping into companies that are announcing restructurings. Ericsson AB is leading the market higher after it replaced its chairman.

Also, the news that the U.K.’s economy grew faster than expected in the third quarter is sparking optimism. The FTSE is up 46 points to 5,133. The CAC 40 has gained 60 points to 4,438. The DAX has added 42 points to 4,758.

In M&A news, the European Commission has approved Interbrew SA’s US$1.6 billion purchase of Brauerei Beck & Co., Germany’s No. 4 brewer.

Overnight in Asia, stocs finished the week mixed. The Nikkei dropped 85 points to 10,795. The Hang Seng gained 161 points to 10,405.

In earnings news this morning, Dia Met Minerals Ltd. today announced net earnings of $15.4 million for the three months ended August 31.

Nexfor Inc. reported third quarter earnings of $10 million, down from $14 million in the preceding quarter. In the third quarter of 2000, earnings were $34 million, although this included an unusual $15 million gain.

This quarter, the company says that improved results from the paper operations were more than offset by continued weakness in European panel markets, lower OSB prices in North America and the imposition of a countervail duty on Canadian softwood lumber into the United States.