SMF Notes This Morning Floor Talk:

We have Flat futures amid mixed overseas trade & earnings; GDP data due at 8:30 ET
Futures are flat this morning amid mixed overseas trade and earnings. S&P futures are +1 vs. fair value while DJ future are +14. In overseas trade, European markets are mixed (DAX +0.1%, CAC -0.4%, FTSE -0.4%), pulling back from intraday highs. European markets found a bid earlier on commentary from the EU's Rehn, who suggested that resolution to the Greece/creditor situation is very near and implied that it could be settled as early as today or this weekend. Rehn added that the PSI would not be applied to any other Eurozone nations besides Greece. The market also responded favorably to Italian T-bill auctions, which raised the expected EUR11 bln.

Markets were mixed in Asia (Hang Seng +0.3%, Nikkei -0.1%, Shanghai closed), with a slight decline in the Nikkei as the yen continued to strengthen. During the session, Japan's PM Noda hinted at bold action to harness in the currency's strength, but the warning fell on deaf ears, as an underlying bid remained in the market. The BOJ's release of its minutes added little additional insight to markets.

In U.S. news, earnings have been hit and miss since yesterday's close. KLAC is higher by 4% after better-than-expected earnings/guidance. JNPR is -8% while RVBD is -13%, after both companies issued better than expected current quarter results but disappointing guidance. PG is -1.5% after it beat current quarter ests but issued disappointing guidance. F is -7% as its earnings also disappointed.

There was also some M&A news, with SOA being acquired by EMN for $27.65/share, representing a 42% premium to yesterday's close. In other news, RIG is +7% after a judge ruled on the Deepwater Horizon spill, saying RIG would be responsible for any punitive damages, fines and penalties flowing from its own conduct.

There are several pieces of econ data due out this morning, with the most important being the advance Q4 GDP reading, which is expected to come in at +3.2%. After the open, we get the revision to the Jan Michigan Sentiment reading.