July 6, 2009 / 9:15 AM / 10 years ago

U.S. stock futures signal losses as oil tumbles

* U.S. stock index futures pointed to a lower open on Wall Street on Monday following a long weekend, as oil tumbled nearly $3 a barrel on mounting doubts over a quick economic recovery.

* At 0854 GMT, futures for the S&P 500 SPc1 were down 0.9 percent, Dow Jones DJc1 futures were down 0.9 percent and Nasdaq 100 NDc1 futures were down 0.9 percent.

* Oil sank to a five-week low near $64 a barrel on Monday, as investors remained cautious over the prospects of a speedy global economic turnaround, while the dollar gained ground in the wake of last week’s grim U.S. jobs data.

* European shares were down 1.6 percent at a seven-week low on Monday morning, dragged by falling shares of commodity-related companies such as BP (BP.L), Royal Dutch Shell (RDSa.AS) and Rio Tinto (RIO.L).

* In Asia, South Korea’s Samsung Electronics (005930.KS), the world’s top maker of memory chips and flat screen TVs, forecast second-quarter earnings well above market estimates, driving its shares up more than 4 percent on Monday.

* A U.S. judge on Sunday approved General Motors Corp’s GMGMQ.PK bankruptcy sale in a move that will allow the company’s most profitable assets to exit bankruptcy protection under government ownership.

* Global miner Rio Tinto (RIO.L) agreed to sell its Americas food packaging business for $1.2 billion U.S.-based Bemis Co Inc BMS.N.

* Morgan Stanley (MS.N), grappling with real estate investment losses, may sell its 1.8 percent stake in Japanese beer maker Sapporo Holdings (2501.T), a move that could weaken its toehold in Japan’s property business. [ID:nT337281]

* PepsiCo Inc PEP.N pledged on Monday to invest $1 billion in Russia over three years and said it was confident in the Russian market, even as the country suffers its first recession in a decade. [ID:nL6136198]

* On the macro front, the Institute for Supply Management releases its June non-manufacturing index, at 1400 GMT.

* U.S. stocks tumbled on Thursday, driving the S&P 500 down to its third-straight weekly loss, as a steeper-than-expected slide in June non-farm payrolls revived caution about economic recovery prospects.

* The Dow Jones industrial average .DJI dropped 223.32 points, or 2.63 percent, to 8,280.74. The Standard & Poor's 500 Index .SPX slid 26.91 points, or 2.91 percent, to 896.42. The Nasdaq Composite Index .IXIC sank 49.20 points, or 2.67 percent, to 1,796.52.

On the year, the Dow is down 5.6 percent and the S&P is down 0.8 percent.

U.S. financial markets were closed on Friday for the U.S. Independence Day holiday, with July 4th falling on Saturday this year. (Reporting by Blaise Robinson; Editing by Hans Peters)

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