LONDON (MarketWatch) -- U.S. stock futures declined Friday as worries over earnings and the economy were back in the spotlight ahead of data on the trade gap and consumer confidence. S&P 500 futures fell 6.6 points to 872.30 and Nasdaq 100 futures fell 7.25 points to 1,406.20. Futures on the Dow Jones Industrial Average slipped 62 points. U.S. stocks rose modestly on Thursday, led by financials after an upgrade of Goldman Sachs Group and a report of falling jobless claims. The Dow Jones Industrial Average rose 4 points, the S&P 500 added 3 points and the Nasdaq Composite rose 5 points. Friday will see the release of data on June import prices, the trade gap in May and the initial University of Michigan consumer confidence survey for July. Labor Data Can Speak To Equity's Future Economists treat labor-market data as what they call a classic 'lagging indicator but it seems equity investors at the moment might beg to differ. Chinese exports dropped 21% in June, though that was a slower rate of decline than in prior months. Though stocks have struggled of late on doubts over a turnaround in the second half, there were still believers in the market. "Fears have increased that the trend toward better economic data has stalled; we believe these are unfounded and still expect the economy to grow in the third quarter," said economists at Barclays Capital in a note to clients. "We think the turn in activity is happening now; we look for a big jump in auto assemblies and industrial production in July." The day also may see General Motors (GMGMQ 0.84, 0.00, -0.24%) exiting Chapter 11 protection after just 40 days in bankruptcy court, The Wall Street Journal reported, citing people familiar with the situation. GM is due to hold a press conference at 9 a.m. Eastern. More broadly, the markets are waiting for data on second-quarter earnings, and on what companies say about the second half of the year. "If we can't get some decent guidance, we'll be heading on down for some time," said Jamie Cox, managing partner of Harris Financial Group. India's Infosys Technologies (INFY 34.49, +0.20, +0.58%) was one of a handful of firms releasing results, reporting a 17% rise in fiscal first-quarter profit, but it forecast annual earnings to fall by as much as 10% due to difficult business conditions and a strengthened rupee. Chevron (CVX 63.08, +0.30, +0.48%) fell 1.9% after saying late Thursday that a weak dollar and refining profits would offset the benefit from higher crude oil prices. Overseas, the Nikkei 225 ended nearly flat as shipping stocks struggled, though several Chinese firms made strong debuts. In Europe, construction and materials firms led a 0.8% decline for the Dow Jones Stoxx 600. Oil futures traded under $60 a barrel. The International Energy Agency reiterated its view for a 2009 global oil demand decline, though the Paris-based agency sees an improvement in 2010. The euro dropped sharply vs. the U.S. dollar. Bonds rose, as yields on 10-year Treasury bonds fell 6 basis points to 3.35%.

Source