Stock futures are higher in early morning trading indicating a similar start for stock markets as tensions with Iran are believed to be easing, automakers are due to report March sales and subprime mortgage market is still making headlines.

Oil prices eased today as the market believes tensions between Iran and the UK over the 15 captured sailors are easing despite Blair saying the next two days are "fairly critical." Iranian officials called for an end to "the language of force," also saying there's no need for the sailors to stand trial.

While traders will keep watching the geopolitical situation closely, they will also monitor throughout the day two other main subjects: auto and truck sales and the subprime mortgage.

Not a day after New Century Financial Corp. (NYSE: NEW) filed for bankruptcy affecting trade on many financial institution companies yesterday, accounting firm Grant Thornton resigned as auditor for two troubled subprime lenders Accredited Home Lenders Holding Co. (NASDAQ: LEND) and Fremont General Corp. (NYSE: FMT) because "they no longer meet our requirements for client acceptance," the auditor said Monday.
Moody's Investors Service plans to cut the credit ratings on 40 to 50 banks in Europe and North America after the current rating system has been criticized. I'm sure new rating on subprime lenders will further rattle the industry.
Last, H&R Block Inc. (NYSE: HRB) is expected to shortly announce the divestiture of its Option One Mortgage Corp. unit.

Before noon, usually, automakers are expected to report March sales. The Big Three sales are expected to decline with Ford Motor Co. (NYSE: F) possibly posting an 8% drop while Toyota Motor Corp. (NYSE: TM) reporting a 9% gain over last year. The other Japanese car makers are also expected to post gains.

Overseas, Asian stock markets closed higher and European markets are trading higher as well. The Financial Times reports that for the first time since World War I, European markets exceed the value of US markets.

Company news coming up next.