Comey testimony, ECB meeting, U.K. election all due Thursday
U.S. stock futures slipped slightly early Monday, as investors looked past a fresh terror attack in the U.K. to potentially market-moving events later in the week, and as oil prices rose on a rift among Gulf states.
This week will deliver testimony by Federal Bureau of Investigation Director James Comey, as well as the U.K. general election and a European Central Bank meeting.
Dow Jones Industrial Average futures slipped 6 points to 21,197, while S&P 500 futures eased 1.2 points to 2,436.50. Nasdaq-100 futures dropped 4.25 points to 5,881.50.
On Friday, the three major indexes closed at records for a second straight session (http://www.marketwatch.com/story/us-stocks-poised-to-bust-out-new-records-as-optimism-about-payrolls-data-builds-2017-06-02), as investors brushed aside a weaker-than-expected May jobs report. The S&P 500 rose 1% for the week, the DJIA gained 0.6%, and the Nasdaq Composite Index surged 1.5%.
The FTSE 100 index and European stocks fell at the start of trading on Monday (http://www.marketwatch.com/story/ftse-100-inches-higher-as-pound-dips-after-london-terror-attack-2017-06-05), as the British pound slipped after Saturday evening's terror attack (http://www.marketwatch.com/story/pound-slips-against-dollar-in-wake-of-london-attack-2017-06-05) near London Bridge. Three assailants in a van mowed down pedestrians, then went on a knife rampage in Borough Market. Seven people died and dozens were injured, 21 critically.
Read:Police arrest 12 in London raids after terror attack (http://www.marketwatch.com/story/police-arrest-12-in-london-raids-after-terror-attack-2017-06-04)
The terror incident comes just days ahead of the U.K. election on Thursday. Investors will watch to see whether Prime Minister Theresa May's Conservative Party, which is looking for backing for its strategy for exiting the European Union, will manage to keep its majority in parliament. The vote could lead to more uncertainty over Brexit.
Read:U.K. election -- the worst, best and most likely scenarios for stocks worldwide (http://www.marketwatch.com/story/uk-election-the-nightmare-best-case-and-most-likely-scenarios-for-stocks-worldwide-2017-06-01)
And see: 5 things to know about the U.K. general election this week (http://www.marketwatch.com/story/5-things-to-know-about-the-uk-general-election-next-week-2017-06-01)
(http://www.marketwatch.com/story/when-is-the-uk-election-and-when-do-we-know-who-won-2017-06-01)Gulf rift: Oil prices pared a gain of more than 1% (http://www.marketwatch.com/story/oil-prices-jump-after-saudi-arabia-other-middle-east-nations-cut-ties-with-qatar-2017-06-05) seen earlier in the European session and in Asian trading. The rise was driven by news that Saudi Arabia, Egypt, Bahrain and the United Arab Emirates had cut relations with Qatar after accusing the country of interfering in internal affairs and supporting terrorism (http://www.marketwatch.com/story/saudi-arabia-bahrain-uae-sever-diplomatic-relations-with-qatar-2017-06-04).
That news left the Qatar QE index down more than 7% on Monday.
Economic docket: A revision to first-quarter productivity numbers, along with unit labor costs for the same period, is due at 8:30 a.m. Eastern Time. The final Markit services purchasing managers' index for May is due at 9:45 a.m. Eastern.
That's followed at 10 a.m. Eastern by the May update of the Institute for Supply Management's nonmanufacturing index, with a reading on factory orders for April due at the same time.
A turbulent week ahead: The U.K. election is just one of three key events expected on Thursday.
Former FBI head Comey, who was fired by U.S. President Donald Trump last month, is due to testify before the Senate Intelligence Committee on Russia's role in the U.S. presidential election on Thursday. Of key interest will be comments by Comey as to whether he was pressured to drop a probe into possible collusion between the Trump campaign and Russian officials.
See:Top Democrat says there's smoke, but 'no smoking gun' yet in Russia probe (http://www.marketwatch.com/story/top-democrat-says-theres-smoke-but-no-smoking-gun-yet-in-russia-probe-2017-06-04)
And check out:Trump weighing whether to block Comey testimony to Senate (http://www.marketwatch.com/story/trump-weighing-whether-to-block-comey-testimony-to-senate-2017-06-02)
A European Central Bank meeting in Talinn, Estonia is scheduled on the same day. Investors will be watching to see if the central bank offers any clues about when it will begin tapering its stimulus program.
In addition, stocks are entering a traditionally turbulent period, with Bespoke Investment noting that equities tend to fall around 0.79% in the two-week span between May 30 and June 13.
Read:Stock market bracing for potentially the stormiest stretch of trading this year (http://www.marketwatch.com/story/stock-market-bracing-for-potentially-the-most-explosive-stretch-of-trading-this-year-2017-06-03)
Other markets: Gold prices inched higher.
(END) Dow Jones Newswires
June 05, 2017 05:28 ET (09:28 GMT)