July 27, 2004

NEW YORK (CNN/Money) - Renewed attention on economic growth, in the form of consumer and housing reports, could give U.S. stocks a boost when trading begins Tuesday.

Early Tuesday, Nasdaq and S&P futures pointed to a higher open for the major indexes.

The latest reading on consumer confidence is due from the Conference Board, along with a report on new home sales. The Conference Board's confidence index is expected to edge up to 102.0 in June from 101.9 in May, according to a survey of economists by Briefing.com.

New home sales are forecast to fall to an annual rate of 1.26 million in June from a 1.37 million pace in May. But economists' expectations of a drop in existing home sales in June proved wrong Monday when a report showed those sales rising to a record pace.

Tech stocks retreated Monday, while the rest of the market remained little changed. The Nasdaq composite index fell 0.5 percent, while the Dow Jones industrial average was virtually unchanged. (See chart for details)

Asian-Pacific stocks ended mostly higher, but Japan's Nikkei index lost 1.2 percent for its lowest close in nearly two months. European markets advanced in morning trade. (Check the latest on world markets)

Among U.S. stocks trading in Europe, Verizon Communications (VZ: Research, Estimates) rose 2 percent ahead of its second-quarter results, due before the market open. The nation's largest phone company, a Dow component, earned 64 cents a share in the quarter, down from the 69 cents it earned, excluding special items, a year earlier but better than the consensus analyst forecast of 60 cents.

Other companies expected to announce earnings early Tuesday include chemical manufacturer and Dow component DuPont (DD: Research, Estimates) as well as Marathon Oil (MRO: Research, Estimates), grocer Safeway (SWY: Research, Estimates) and defense contractor Lockheed Martin (LMT: Research, Estimates).

Treasury prices were little changed, with the 10-year note yield at 4.50 percent. The dollar dipped against the yen and euro. Gold was up nearly $3 an ounce.

Oil prices advanced slightly. U.S. crude futures rose 10 cents to $41.54 a barrel in electronic trading, while Brent oil futures gained 11 cents to $38.22 a barrel in London.

Apple Computer (AAPL: Research, Estimates) and Motorola (MOT: Research, Estimates), the nation's largest cell phone manufacturer, announced Monday that Apple will make a version of its iTunes software to be included in wireless phones early next year.

The Pension Benefit Guarantee Corp., the U.S. agency that insures pensions, warned United Airlines parent UAL (UALAQ: Research, Estimates) Monday that it could not legally stop making payments to its pension plans while it tries to escape bankruptcy, as the nation's No. 2 airline announced it would do Friday.

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