Coming Week: Job Shadow

Also hitting the tape on Thursday are construction spending for April and the May ISM index, which economists expect to dip to 56 from 57.3 the prior month.

The nonfarm payroll report, the big market mover, arrives on Friday. Economists are expecting 175,000 jobs to have been added in May, up from April's surprisingly weak 138,000. The average hourly workweek is anticipated to remain at 33.9 hours, and the unemployment rate is expected to remain stuck at 4.7%.

Wachovia's Schenker is expecting the number to come in a little under consensus at 161,000, which he calls "not a blockbuster, but a fairly solid figure for midcycle economic growth."

Not as much of a headline grabber, but still important, April factory orders will also be released on Friday. Economists anticipate a 0.6% drop after growth of 4.2% in March.

Earnings Taper Off

U.S. markets will be closed Monday for the Memorial Day holiday, so no U.S.-based companies are scheduled to report results. Canadian markets will be open for business, however, so our neighbors north of the border can tune in when Bank of Nova Scotia(BNS Quote) reports results.

When traders return from their long weekends on Tuesday, they will hear quarterly results from the likes of Albertson's(ABS Quote), Semtech(SMTC Quote) and Vodafone(VOD Quote).

Also reporting on Tuesday will be CA(CA Quote). Analysts expect the company formerly known as Computer Associates to post a fiscal fourth-quarter profit of 22 cents a share, up from 3 cents last year, on revenue of $975 million.

On Wednesday the earnings lineup includes retailers Dress Barn(DBRN Quote), Costco(COST Quote), Bon-Ton(BONT Quote) and Tiffany(TIF Quote).

Hovnanian Enterprises(HOV Quote) is slated to release fiscal-second quarter earnings on Wednesday. The homebuilder cut its earnings projection earlier this month to a range of $1.40 to $1.50 a share, blaming slower sales and increased cancellations. Analysts anticipate the company will post a profit of $1.43 a share, down from $1.62 last year, on revenue of $1.35 billion.