(Reuters) - Stocks rebounded from three days of losses on Monday as investors bet there would be a near-term resolution to some of the uncertainty over Greece's fiscal crisis, but the absence of a firm plan could limit the market's upside. The Greek parliament will begin to debate a deeply unpopular austerity program that must be approved in order to get the next bailout payment. A Greek minister warned of "catastrophe" if the measure is not passed in a vote later this week.

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(Reuters) - Consumer spending was flat in May, breaking a string of 10 straight months of gains, as households struggled with rising prices and automakers failed to deliver the models Americans wanted. When adjusted for inflation, spending slipped 0.1 percent, the Commerce Department said on Monday, falling for a second straight month. The report, which showed underlying inflation quickening, suggested that consumer spending would offer little support to the economy in the second quarter. In the first three months of the year, it advanced at a modest 2.2 percent annual rate.

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(Reuters) - French banks have agreed to roll over holdings of Greek debt for 30 years, President Nicolas Sarkozy said on Monday, as the Greek government fought to persuade backbench rebels to back a crucial austerity plan to avert bankruptcy. With financial markets watching the Greek crisis anxiously, Sarkozy told a news conference in Paris that the French authorities had reached an agreement with the banks on a voluntary rollover of maturing bonds.

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(Reuters) - Delta Air Lines Inc (DAL.N) expects a "solidly profitable" second quarter as higher revenues have for the most part offset rising fuel costs. The airline said in a U.S. Securities and Exchange Commission filing on Monday it expects an operating margin of 6.5 percent to 7 percent for the second quarter. Passenger unit revenue is expected to be up 10 percent.

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(Reuters) - The odds are stacked against the London Stock Exchange in its bid to take over the operator of Canada's biggest stock exchange, amid vocal endorsements for its made-in-Canada rival from investors, a billionaire activist and provincial politicians. The LSE offer is worth C$3.6 billion, including a cash dividend to TMX Group shareholders. A rival offer from a bank-led Canadian consortium comes in at around C$3.8 billion. Shareholders, some still hoping for a sweetened bid, vote on the LSE offer on Thursday.

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(Reuters) - Chinese Premier Wen Jiabao signaled for the first time that China would struggle to meet its 4 percent inflation target this year, underlining expectations that interest rates will rise further even as economic growth slows down. Wen, who is traveling in Europe, was quoted by Hong Kong media on Monday as saying that while he sees the Chinese economy growing above 8-9 percent this year, it was hard for China to keep inflation under 4 percent in 2011.

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(Reuters) - Europe's banks may need to raise tens of billions of euros after regulators slapped an extra capital surcharge on big lenders to make them safer, and told them they could not use contingent capital for the extra cushion. Banks in France and Germany may be most in need, adding to fears their capital could be strained by losses on holdings of Greek bonds and loans to the troubled euro zone country.

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(Reuters) - Inflation in emerging markets could reach double digits, while economic growth this year will average 6 percent, according to Franklin Templeton's veteran emerging markets investor Mark Mobius. Economic growth and rising commodity and food prices are fuelling inflation in emerging economies, but Mobius said these countries have previously withstood inflation running into the thousands of percent, such as in Brazil.

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(Reuters) - Stocks opened slightly lower on Friday after a brief suspension in the trading of some big Italian banks raised new concerns about the European debt crisis, though better-than-expected durable goods orders kept losses limited. The Dow Jones industrial average .DJI was down 11.89 points, or 0.10 percent, at 12,038.11. The Standard & Poor's 500 Index .SPX was down 1.01 points, or 0.08 percent, at 1,282.49. The Nasdaq Composite Index .IXIC was down 7.58 points, or 0.28 percent, at 2,679.17.

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(Reuters) - New orders for U.S. manufactured goods and a gauge of business spending plans rose in May, easing fears of a sharp slowdown in factory activity. Durable goods orders increased 1.9 percent after dropping 2.7 percent in April, the Commerce Department said on Friday. An improvement across the board in May and revisions to April's figures that showed smaller declines than previously reported, pointed to underlying strength in a sector that has powered the economic recovery.

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