U.S. stock futures little changed ahead of economic data

Send a link to a friend  Share

[June 05, 2017]  By Tanya Agrawal

(Reuters) -
U.S. stock index futures were little changed on Monday ahead of a string of economic data, which could set the tone for the day.

The market seemed to have largely shrugged off the weekend attacks in London, just days before Britain's general national election on Thursday.

Opinion polls in the past week have put Prime Minister Theresa May's Conservatives ahead, though with a narrowing lead over the Labour opposition.

U.S. stocks closed at record levels for a second consecutive session on Friday, as gains in technology and industrial stocks more than offset a lukewarm jobs report.

Nonfarm payrolls increased by 138,000 in May, well short of the 185,000 expected by economists.

Despite the disappointing data, market participants still largely anticipate the Federal Reserve to raise rates at its June 13-14 meeting, with traders expecting a 90.7-percent chance of a quarter-point hike, according to Thomson Reuters data.

The modest increase, however, could raise concerns about the economy's health after gross domestic product growth slowed in the first quarter and a string of softening data this week, including reports on housing and auto sales.

[to top of second column]

Traders work on the floor of the New York Stock Exchange (NYSE) in New York, U.S., June 2, 2017. REUTERS/Brendan McDermid

The Commerce Department will report factory orders for April, which likely dipped 0.2 percent, while the Institute for Supply Management's non-manufacturing PMI data for May could show a marginal drop to 57.0 from 57.5 in April. The reports are expected at 10 a.m. ET.

Oil prices pared early gains to trade slightly lower, after top crude exporter Saudi Arabia and other Arab states cut ties with Qatar, driving up prices on concerns over increased tension in the Middle East. [O/R]

Shares of Apple were down 0.8 percent at $154.15 in premarket trading ahead of the tech giant's five-day annual developer conference. There is a possibility the company will take the unusual step of introducing a new product.

Herbalife was down 5.5 percent at $69.85 after the nutritional supplement maker lowered its sales outlook for the current quarter.

Forestar Group  jumped 12 percent to $15.92 after U.S. homebuilder D.R. Horton offered to buy 75 percent of the real estate development company. D.R. Horton was unchanged at $33.79.

(Reporting by Tanya Agrawal in Bengaluru; Editing by Anil D'Silva)

[ 2017 Thomson Reuters. All rights reserved.]

Copyright 2017 Reuters. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Back to top