PRE MARKET SQUAWK

On the wires - WSJ reports that the Saudi's will cut oil output another 158k barrels effective Feb 1; MRK reaffirms $2.51-$2.59; IGT target upped to $56 from $43 at CIBC; PG beats on revenue Q2 eps in line and raises Y07 guidance; CP misses by 2 cents, guides FY 07 in line with revs slightly below consensus; CL beats by 3 cents, see Y07 gross margins to grow by 110 bps; UPS reports in line, guides FY 07 slightly below consensus; JPM upgrades SBUX to overweight from neutral; BSC upgrades TSO to outperform from peer perform; CFC misses by 2 cents and give eps guidance for 07 of $3.8-4.8 (quite a range) and expects the current difficult market conditions will continue.

Moving up - ALGN JDAS MOT SI MXIM TGX CGEN BDK SBUX BHP AA SAP - Moving down - GNSS MMM UPS CFC STO GFI SHPGY.

Futures are trading up with the DJIA futs up 20, ES +3 and NQ +5, and check out the article written by Raymond James's CIS Jeff Saut, and a little more on the blogger poll by one of the bloggers.

Pivot points on the DJIA Futures are 12,533 with support at 12,490 and resistance at 12,570- SPX pivot is 1,422 with support at 1,417 and resistance at 1,426.