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Stock futures edging higher

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After a lower week of trading, stock futures are rebounding this morning as economic data regarding personal incomes and spending are in line with estimates.

S&P futures (sp02m) currently trade higher by 4.3 points at 1,076. NASDAQ futures are edging up 6 points at 1,258 and Dow futures are gaining 45 points at 9,910.

Fair value for the S&P 500 today is $0.93. That price will not change during the day. HL Camp & Company has their computers set for program buying at $1.66 and set for selling at $-0.70. Fair value for the NASDAQ-100 Today is $4.12.

Incomes and spending rose

Personal incomes and spending both rose by 0.4% in March according to the Commerce Departments, but have cooled off a bit from February's 0.6% rise. February's results on a percentage basis were not revised.

Most economists continue to point out that consumption continues to hold up well in the wake of last year's recession.

Fed Chairman Alan Greenspan closely follows the personal consumption expenditures (PCE) price index found in today's report over other inflation measures, such as the consumer price index (CPI).

The PCE deflator rose a modest 0.2% in March, after rising 0.1% in February. Taking out food and energy, this price index held at a 0.1% rate from February to March. In essence, the PCE from this report also supports ideas that the Fed can hold off on a rate increase for now.

NVIDIA's CFO takes leave of absence

Shares of NVIDIA (NASDAQ:NVDA) $30.37 are the most actively traded stock at $31.30 in pre-market action after the company announced that CFO Christine Hoberg is taking a leave of absence. Mary Dotz, NVIDIA's Corporate Controller has been named interim CFO. The Board of Directors is initiating a search for a permanent CFO.

In a separate statement, the company is guiding higher for Q1 expecting to post net income of $0.45-$0.48 a share on revenues of $570-$580 million. Both figures exceed current consensus of $0.43 and $530 million. NVDA also announced it will restate results for last year's Q1, and for fiscal 2001 and 2000. Restatement will result in a total net income increase of about $1.3 million. NVDA will hold a conference call today at 10:30 AM EST. Those interested can call 888-282-0379.

Jeff Bailey
Senior Market Technician
Option Investor

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