A Peek Into The Markets: U.S. Stock Futures Drop Ahead Of Factory-Orders Report

Pre-open movers

U.S. stock futures traded lower in early pre-market trade. Data on factory orders for May will be released at 10:00 a.m. ET, while the TD Ameritrade Investor Movement Index for June will be released at 12:30 p.m. ET. The New York Federal Reserve Bank President William Dudley is set to speak at in Binghampton, New York at 2:30 p.m. ET.

Futures for the Dow Jones Industrial Average dropped 69 points to 17,800.00, while the Standard & Poor’s 500 index futures fell 9 points to 2,087.50. Futures for the Nasdaq 100 index declined 20 points to 4,414.00.

Oil prices traded lower as Brent crude futures declined 2.02 percent to trade at $49.09 per barrel, while US WTI crude futures also fell 2.39 percent to trade at $47.82 a barrel.

A Peek Into Global Markets

European markets were mostly lower today, with the Spanish Ibex Index dropping 1.32 percent, STOXX Europe 600 Index falling 1.15 percent and German DAX 30 index dropping 1.40 percent. The UK's FTSE index was trading higher by 0.57 percent, while French CAC 40 Index slipped 1.26 percent. Eurozone retail sales increased 0.4 percent in May from April.

In Asian markets, Japan’s Nikkei Stock Average fell 0.67 percent, Hong Kong’s Hang Seng Index declined 1.46 percent, China’s Shanghai Composite Index rose 0.60 percent and India’s BSE Sensex declined 0.41 percent.

Broker Recommendation

Analysts at Morgan Stanley downgraded Illumina, Inc. ILMN from Equalweight to Underweight and downgraded the price target from $130.00 to $110.00.

Illumina shares fell 3.01 percent to $136.50 in pre-market trading.

Breaking news

• FactSet Research Systems Inc. FDS issued a forecast for the fourth quarter. The company expects Q4 adjusted earnings of $1.68 to $1.72 per share, on sales of $286 million to $292 million. Analysts projected earnings of $1.69 per share on sales of $294.3 million. The company also reported a $120 million accelerated buyback plan.



• Brazil's government continued its war against Facebook Inc FB and its popular chatting app after the government froze $6 million of the company's cash in a local bank account. A judge in Brazil ordered Facebook to shut down its message app WhatApp back in May after the company refused to release data to the government as part of an ongoing drug trafficking investigation. To read the full news, click here.



• Insys Therapeutics Inc INSY reported that the U.S. FDA has approved Insys' dronabinol oral solution, SyndrosTM.



• Bristol-Myers Squibb Company BMY and Cormorant Pharmaceuticals revealed Tuesday that the former has acquired privately held Cormorant Pharmaceuticals' all outstanding capital stock. To read the full news, click here.