* Dow, S&P 500 ended at records on Monday
* Light VIX and volume raises some concerns
* Pilgrim's raises buyout offer for Hillshire
* Futures down: Dow 26 pts, S&P 4 pts, Nasdaq 12 pts
(Adds AT&T outlook)
By Ryan Vlastelica
NEW YORK, June 3 U.S. stock index futures
pointed to a lower open on Tuesday as traders found few reasons
to buy with major indexes at record levels, though the market's
recent upward momentum appeared intact.
* Both the Dow and S&P 500 closed at records on Monday; that
was the benchmark S&P's third consecutive record. However,
recent advances have come in light trading, indicating the rally
has lacked conviction. About 101,000 S&P 500 e-minis
contracts changed hands in morning trading on Tuesday,
suggesting another day of light action.
* The CBOE Volatility Index has also been lower than
average, hovering near levels not seen since March 2013. While
the current levels of the VIX indicate a lack of fear in the
market, some investors are concerned it also reflects a sense of
complacency among investors.
* Trading catalysts could come later in the session, with
the release of data on durable goods and factory orders, both
for April and scheduled for release at 10:00 a.m. (1400 GMT).
Factory orders are seen rising 0.5 percent in the month, a
smaller advance than in March. The Institute for Supply
Management's May read on New York economic activity is also on
tap, due at 9:45 a.m.
* S&P 500 futures fell 4 points and were above fair
value, a formula that evaluates pricing by taking into account
interest rates, dividends and time to expiration on the
contract. Dow Jones industrial average futures slid 26
points and Nasdaq 100 futures lost 12 points.
* AT&T Inc dipped 0.5 percent to $35.25 in premarket
trading after the Dow component forecast full-year revenue
growth of 5 percent.
* Pilgrim's Pride Corp confirmed a revised proposal
to buy Hillshire Brands for $55 a share, an offer that
values the company at $7.7 billion. Last week, Tyson Foods Inc
offered to buy Hillshire for $6.3 billion. Hillshire
said it would conduct talks with both parties. Its stock rose
8.4 percent to $58.05 before the bell.
* Element Financial Corp late Monday agreed to buy
PHH Corp's auto fleet leasing business for about $1.4
billion in cash. Shares of PHH rose 5 cents to $25.30 before the
* Prosena Holding NV jumped 3.9 percent to $11 in
heavy premarket trading after the U.S. Food and Drug
Administration outlined a regulatory path for the accelerated
approval of its lead drug.
* Gladstone Commercial Corp was one of the
premarket session's most active Nasdaq names, falling 4.2
percent to $16.80 after the company announced a common stock
offering of an undisclosed size. Separately, Spherix Inc
rose 9.4 percent to $1.98 in heavy trading after the
company announced $20 million in equity financing.
(Editing by Bernadette Baum)