* Consumer spending rose 0.1 percent last month
* Nike up after it said it would launch pilot program with
* Futures slightly higher: Dow up 34 pts, S&P up 3 pts,
Nasdaq down 5.5 pts
(Adds comments, updates price)
By Ankur Banerjee and Anya George Tharakan
June 30 (Reuters) – The S&P 500 and the Dow Jones Industrial
Average looked set to open slightly higher on Friday after
consumer spending data for May showed steady economic growth as
the second quarter draws to a close.
U.S. consumer spending rose modestly in May and inflation
cooled, pointing to a slow-but-steady economic expansion that
could still lead the Federal Reserve to raise interest rates by
the end of the year.
The S&P 500 and the Dow recorded their worst daily
percentage drop in about six weeks on Thursday as a recent
decline in technology shares deepened and outweighed strength in
“It would not surprise me to have a lot of volatility,
considering the financials were particularly strong yesterday
and technology was particularly weak,” said Andre Bakhos,
managing director at Janlyn Capital LLC.
“We have what appears to be some sector rotation going on,
and its occurring at the end of the quarter and its adding to
Towards the end of the second quarter, the market witnessed
a few volatile days. On Wednesday, the tech-heavy Nasdaq posted
its best day since Nov. 7.
Tech stocks, which have led the S&P 500’s 8-percent gain
this year, pulled back recently as some investors questioned the
sector’s high valuations.
Dow e-minis were up 34 points, or 0.16 percent, at
8:41 a.m. ET with 34,703 contracts changing hands. S&P 500
e-minis were up 3 points, or 0.12 percent, with 217,782
contracts traded. Nasdaq 100 e-minis were down 5.5
points, or 0.1 percent, on volume of 56,522 contracts.
Crude oil futures on Friday were on track for their biggest
weekly gain since mid-May, ending five weeks of losses with
prices underpinned by a decline in U.S. output.
The euro came off yearly highs on Friday but was still set
for its strongest quarter in six years as investors piled into
the currency on a brightening euro zone economy and its
implications for monetary policy in the bloc.
The final reading of University Of Michigan Surveys Of
Consumers Sentiment for June is due at 10:00 a.m. ET (1400 GMT)
On the stocks, Nike shares were up 6 percent after
the world’s largest footwear maker said on Thursday it would
launch a pilot program with Amazon.com Inc to sell a
limited product assortment on its website.
Shares of Cara Therapeutics Inc plunged 29 percent
after the biotech reported disappointing pain treatment data
from a key study.
Micron shares were up 2 percent after the chipmaker
forecast better-than-expected profit and revenue for fourth
(Reporting by Ankur Banerjee in Bengaluru; Editing by Arun