Less spending hurts Dell

Dell is expected to post lower fiscal third-quarter earnings than a year ago on worldwide declines in information technology spending. Personal computer shipments from the computer maker missed analyst expectations for the quarter. To save cash, Dell has instituted a hiring freeze and offered buyouts to employees. Thomas Weisel Partners analyst Doug Reid expects Dell to earn 30 cents a share, less than the consensus, due to weak PC and server sales. It reports earnings after the market closes.

DECLINES EXPECTED IN INDICATOR INDEX

Economists expect the Conference Board's index of economic indicators to decline in October after an unexpected rise in September because of a boost in the money supply. The Federal Reserve aggressively added liquidity to the financial markets in September to ease the credit crisis.

The index is a composite of closely watched economic and market data that is used to gauge economic trends. Thomson Reuters expects declines in eight of the 10 components of the index, with the S&P 500 stock component and vendor deliveries leading the declines.

COST CUTTING HELPS BOOKSELLER

Weak consumer spending and competition from online retailers and discounters have pressured Barnes & Noble, the largest U.S. bookseller's sales and stock price. Analysts expect it to post a wider third-quarter loss than a year ago. Deutsche Bank analyst Dave Weiner, who rates Barnes & Noble "hold," says the company has been able to ride out the tough times by cutting costs.