(Corrects third bullet to 1700 GMT from 1500 GMT)
* Futures down: Dow 19 pts, S&P 2.5 pts, Nasdaq 25.75 pts
By Tanya Agrawal
June 27 (Reuters) – U.S. stock index futures were lower on
Tuesday as a selloff in technology shares continued, while
investors awaited clues on interest rate hikes from Federal
Reserve Chair Janet Yellen’s talk in London.
* The tech sector has been under pressure over concerns
about stretched valuations, with investors shifting to
high-dividend paying defensive sectors such as utilities in a
rising interest rate environment.
* Yellen is scheduled to take part in a discussion on global
economic issues in London at 1 p.m. ET (1700 GMT). Investors
expect Yellen to offer more insight into the state of the U.S.
economy, which would support the Fed’s forecast of a rate hike
* Fed officials have signaled that they would look through a
slowdown in inflation and continue on their current path for
hikes. But investors are skeptical and market pricing shows only
a 40 percent chance of a rate hike at the Fed’s December
* Minneapolis Fed head Neel Kashkari and Philadelphia Fed
chief Patrick Harker are also scheduled to speak later in the
* Investors have been anxious about a patch of recent weak
economic data, while a steep fall in oil prices and a flattening
yield curve have added to low-inflation concerns.
* Data on Monday showed new orders for key U.S.-made capital
goods unexpectedly fell in May and shipments also declined.
* The U.S. Conference Board is expected to show a drop in
its consumer confidence index for the month of June to 116.0,
after slipping to 117.9 in May. The data is expected at 10 a.m.
* Oil prices rose for a fourth consecutive session, boosted
by a weaker dollar and investors covering short positions, but
worries over persistent oversupply capped gains.
* Alphabet fell 1.1 percent to $962 in premarket
trading after EU antitrust regulators hit the tech giant with a
record $2.7 billion fine.
* Sprint rose 7.4 percent to $8.60 after sources said
the wireless carrier is in talks with Charter Communications
and Comcast about a partnership to boost the
companies’ wireless offerings. Comcast was down 1.5 percent at
$39, while Charter was little changed at $332.65.
* General Motors slipped 0.8 percent to $34.24 after
the automaker lowered its outlook for new sales in 2017.
Futures snapshot at 7:03 a.m. ET:
* Dow e-minis were down 19 points, or 0.09 percent,
with 21,243 contracts changing hands.
* S&P 500 e-minis were down 2.5 points, or 0.1
percent, with 118,710 contracts traded.
* Nasdaq 100 e-minis were down 25.75 points, or 0.45
percent, on volume of 25,477 contracts.
(Reporting by Tanya Agrawal; Editing by Anil D’Silva)