Cisco Systems Inc. (CSCO) posted a stronger-than-expected profit for its fiscal first quarter and said business was recovering as customers are buying more network equipment again. Its revenue outlook for the current quarter also exceeded Wall Street expectations. Shares rose over 3.5 percent in premarket trade.

Toyota Motor Corp. (TM) posted a surprise profit last quarter -- its first after three losing quarters -- and trimmed its projected red ink for the year. Toyota said results were due to government measures around the world designed to boost sales of environmentally friendly cars and other vehicles. Shares were 2 percent higher ahead of the bell.

U.S. stocks are poised for a weak opening Thursday morning after finishing barely changed Wednesday following the Federal Reserve's statement that it was keeping rates at record low levels. Wall Street wanted a stronger show of confidence in the economy.

Also in focus this morning are retail chain-stores October sales. And earnings from tech giant Cisco (CSCO), which also gave an upbeat outlook could give a boost to tech.

[Update: Futures now point to a higher open following retail sales data, earnings and lower claims numbers.]

More here: Before the bell: Futures drift lower after Fed's statement, Cisco, Toyota climb

Galleon Holdings, the $3.7 billion hedge fund whose founder, Raj Rajaratnam, is out on $100 million bail for his role at the center of a $20 million insider trading scandal, owns big positions in dozens of public companies. And those companies' share prices and management teams could be in trouble. Of course, Galleon's stakes in these companies are a problem only if any of their employees have followed the same process of tipping Galleon as the public companies I posted about here allegedly did.

The current M&A wave among tech giants like Dell (DELL), Cisco (CSCO) and Intel (INTC) reveals something new -- and promising -- about the tech landscape, and perhaps for the U.S. economy at large. The titans' shopping spree shows that rather than just bottom-fishing, they're jostling to get in on a new wave of growth stimulated by new products. And that could be a bullish sign for investors, who have been searching for new sources of spending to power an otherwise sagging economy.

For instance, with Microsoft (MSFT) gearing up to launch its new Windows 7 line next week, the tech industry has been buzzing about whether the release will finally kick off a long-awaited product cycle in the sector. But while tech chiefs are always talking up the promise of innovation, they're now starting to put their money where their mouths are.

Stocks recovered from a gruesome unemployment report and the first drop in factory orders in five months to finish with fractional losses Friday.

The blue-chip Dow Jones Industrial Average ($INDU) shed 22 points, or 0.2 percent, to close at 9,488, while the broader S&P 500 ($INX) dipped five points, or 0.5 percent, to 1,025. The tech-heavy Nasdaq Composite ($COMPX) fell four points, or 0.2 percent, to finish at 2,054.

U.S. stocks are set to kick off the fourth quarter on a lower note even as M&A activity continued. Investors will focus this morning on barrage of economic data and await a testimony by Federal Reserve Chairman Ben Bernanke. Meanwhile, the IMF raised its global growth projections for next year.

Cisco (CSCO) and Bank of America (BAC) are in focus this morning after Cisco offered to pay $3 billion for Tandberg and B of A's CEO Ken Lewis said late Wednesday that he would retire.

More here: Before the bell: Stock futures lower ahead of a barrage of economic data

Cisco (CSCO) can't seem to help itself. Each year it buys several companies, some of them big. Early today the router company agreed to buy Oslo-based Tandberg. The deal will close early next year and under the terms of the transaction Cisco, which has about $35 billion in cash and short-term investments on its balance sheet, will pay about $3 billion in cash for the company.

Tandberg makes video infrastructure and communications products which gets Cisco much more deeply into that sector. Cisco already owns Linksys and TV set-top company Scientific Atlanta. Its TelePresence unit is a force in video conferencing, and it has bought a number of other small businesses in related areas.

The constant drumbeat for corporations to rein in salaries may finally be echoing in the nation's boardrooms. AT&T (T), Cisco Systems (CSCO), and Tyco International (TYC) are among nine companies that have signed on to a number of guiding principles that will link pay to performance, ensure that corporate boards scrutinize compensation packages, and eliminate controversial items such as excessive golden parachutes, according to the Conference Board, a business research group.

Though Congress is weighing legislation the would enforce such reforms, the Conference Board's Task Force on Executive Compensation said Monday that publicly traded companies and institutional shareholders shouldn't be hamstrung by burdensome regulations.