Stocks set to gain at open

NEW YORK (CNNMoney.com) -- U.S. stocks were poised for a higher open Monday as investors remained bullish about the economic recovery ahead of the government's main jobs report later this week.

Dow Jones industrial average, S&P 500, and Nasdaq 100 futures were up.

Futures measure current index values against perceived future performance and offer an indication of how markets may open when trading begins.

The advance is "part of an ongoing rally on an upbeat economic outlook," said David Jones, chief market strategist at IG Markets in London. He said he doesn't expect "anything ground shaking" from the morning's economic news, adding that the momentum should continue.

The optimistic tone comes after European Union leaders reached an agreement last week to support Greece if the debt stricken country's fiscal condition worsens. Greece is reportedly preparing a new offering of 7-year notes, which Jones said "is another sign of calm after the panic."

Meanwhile, the market was unfazed by reports that female suicide bombers detonated explosions that rocked two subway stations in central Moscow during rush hour Monday morning, killing at least 35 people.

Despite a mixed finish Friday, the major stock indexes have risen six of the past seven weeks. But this week, which will include the end of 2010's first quarter, could test how strong the economy really is.

The week will be capped by the March employment report on Friday, although stock markets won't be able to react until next Monday because they'll be closed for Good Friday.

Economy: The Commerce Department reported that personal income was little changed in February, after an upwardly revised 0.3% gain in January.

The report was roughly in line with economists' expectations, according to a consensus forecast from Briefing.com.

Personal spending increased 0.3%, as expected, following a rise of 0.5% in January.

Companies: Chinese carmaker Zhejiang Geely Holding Group has purchased Volvo cars from U.S. automaker Ford, the Swedish carmaker announced Sunday.

The $1.8 billion deal represents the biggest ever purchase by a Chinese car manufacturer, but it is considerably less than the $6.4 billion Ford (F, Fortune 500) paid for Volvo in 1999.

Avnet. (AVT, Fortune 500), the distributor of electronic components, announced plans to buy Bell Microproducts (BELM) in an all-cash merger valued at $594 million, including Bell's debt. Shares in both companies were higher in premarket trading.

Rio Tinto fired four employees after a Shanghai court sentenced Stern Hu, a former executive at the Anglo-Australian mining giant, for bribery and stealing commercial secrets.

World markets: Asian stocks ended mixed. In Japan, Tokyo's Nikkei index lost 0.1%, while the Hang Seng in Hong Kong rallied 0.8%.

In Europe, Britain's FTSE 100, France's CAC 40 and Germany's DAX were higher in midday trade.

The dollar and commodities: The dollar eased against the euro and pound, but was unchanged versus the yen.

Crude oil for May delivery added 63 cents to $80.63 a barrel.

The price of gold for April delivery was up $6.40 an ounce to $1,111.40.

Treasurys: The price of the benchmark 10-year note was lower, raising the yield to 3.88%.