Stocks are expected to open lower this morning on news that U.S. initial jobless claims spiked up by 58,000 last week to 450,000.

This is highest level for claims in nine years, and stems from firms such as airlines feeling the impact of the September 11 attacks.

Economists believe that the job losses will plunge consumers into recession along with business.

Techs are leading the way down this morning after Sonus Networks warned on earnings last night.

Durable goods orders were reported lower in August. This is the third straight month of declines, confirming the economic weakness in place before the terrorist attacks.

European stocks are mixed this morning, little changed in either direction as markets await some leadership from the United States. The European Central Bank kept its benchmark interest rate at 3.75%, scotching some hopes for further growth-inspiring cuts on the heels of the post-attack cuts by the ECB. The FTSE is up just four points to 4,701. The CAC 40 is down 15 points to 3,960. The DAX has gained 25 points though, to 4,120.

Overnight in Asia, markets were up once again. The Bank of Japan kept selling the yen, pushing the currency lower against the dollar. The Nikkei gained 55 points to 9,697. The Hang Seng packed on 229 points to 9,601.

In M&A news, Reliant Resources Inc. is buying Orion Power Holdings Inc. for US$4.7 billion in cash and assumed debt.

Also, Quebecor World Inc. announced today it has signed a binding agreement to purchase the European printing assets of Hachette Filipacchi Medias for an undisclosed price. As part of the transaction Hachette is entering into long-term agreement with Quebecor to print many of its magazines.