NEW YORK (CNNMoney.com) - Stocks were poised to open higher Friday morning after an inflation report didn't raise any alarms.

U.S. stock futures turned higher in early trading and a comparison to fair value indicated a higher opening for U.S. markets.

The Commerce Department's report on personal income and spending showed that the prices paid by consumers on items other than food and energy, known as the core PCE deflator, was up 2.1 percent over the 12-month period ending in April.

While that was roughly in-line with estimates, it calmed a market that was bracing for a possibly much higher number in light of several inflation reports last week that were higher than expected.

Soon after the market opens, the University of Michigan issues its revised reading on consumer confidence. Economists are looking for that index to stay at a 79 percent reading.

Oil prices were higher ahead of the long holiday weekend in the United States and Britain.

The June light crude futures contract for NYMEX was up 33 cents to $71.65 in electronic trading, while the July contract for Brent crude gained 44 cents to $71.15.

Major markets in Asia closed higher Friday on the U.S. gross domestic product report that also lifted U.S. stocks in Thursday trading. Major European markets were up in early trading. Luxembourg steel manufacturer Arcelor SA Friday agreed to a $16.6 billion merger with a Russian steel manufacturer, an effort to block a hostile bid from Mittal Steel (Research).

Treasury prices were little changed, leaving the yield on the benchmark 10-year note near the 5.07 percent level reached late Thursday. The dollar was higher against the yen but lower against the euro.

Treasury Secretary John Snow, whose future in the Bush administration has been the subject of heated speculation in recent months, is likely to step down in mid- to late June, according to numerous reports published late Thursday.

In corporate news, Internet search engine Google (Research) and No. 1 personal computer maker Dell (Research) said late Thursday that the computer maker will install Google software on its systems.

___________________

For a more detailed look at the markets before the open, click here.