Before the bell 4-30-07: Slow start ahead of economic data

This trading seems to start lowly. Stock futures are down, indicating a similar start for stocks ahead of many economic data coming out today as well as in the rest of the week. More earnings are also scheduled for this week.

Last week it was mostly strong earnings that helped push the Dow beyond the 13,000 mark and into record territory. Economic data, especially GDP, came in below expectations. The Dow and the Nasdaq both finished the week up 1.2%, the S&P 500 up 0.7%.

This week investors will look at consumer spending, inflation and jobs data. Some have started to mention the word stagflation and this week's data will help determine if this direction is gaining more credence in economists' eyes. More earnings are also scheduled for this week from the likes of Verizon, Procter & Gamble, Time Warner, General Motors and more.

Economic data due today:

• At 8:30 a.m., March personal income and spending will be released. According to Briefing.com, both are set to increase 0.5% after a rise of 0.6% in February.
• With the personal income and spending data, a measure of inflation is also due, core personal consumption expenditures inflation, or core PCE inflation. This measure, a favorite of the Fed for determining inflation, is expected to tick 0.1% in March after a 0.3% increased the month before.
• A little after the market opens, the Chicago PMI numbers are scheduled for release, indicating manufacturing activity the Midwest region. It is estimated the March index has declined to 55 from 61.7.
• At 10:00 Aa.m., the construction-spending report is due and expected to show a rise of 0.3% in March, same as in February.

Earnings:
Verizon Communications Inc. (NYSE: VZ), a Dow component, should release financial results today and is expected to earn 54 cents per share.

Other corporate news:

• Delta Air Lines Inc. (OTC: DALRQ) is to exit Chapter 11 on Monday.
• Yahoo Inc. (NASDAQ: YHOO) is to buy the rest (80%) of Right Media Inc., an advertising exchange, for about $680 million.
• Citigroup Inc. (NYSE: C) executives fear hedge funds activists could pressure the company to be broken up, according to the Financial Times.

Overseas, Asian stocks closed mostly lower (Japan's markets were closed). European stocks, however, rallied on rumors of takeovers in the telecommunications industry. In Turkey, currency and stocks tumbled following inside political unrest after the military threatened to intervene and throw a leading cadidate should he win the presidency.