Futures Unchanged Before Flood of Key Economic Data, FOMC; M&A Actions Kicks Off With Multi-Billion Dollar Deals

Stock futures are relatively unchanged as investors nervously eye this week's deluge of pivotal economic data as well as another Federal Open Market Committee meeting which concludes on Wednesday. Merger and acquisition activity this week kicked off with a $9.2 billion offer from Dollar Tree ( DLTR ) for Family Dollar ( FDO ), as well as a $3.5 billion offer from Zillow ( Z ) for Trulia ( TRLA ), both of which are helping the Nasdaq outperform into the open.

A heavy week for economic data kicks off after the open with the July purchasing managers index for the services industry, expected to drop to 60.0 from 61.2 prior. This is followed by June pending home sales, forecasted to increase 0.3% after an impressive 6.1% surge in home sales in May. Finally, the Dallas Fed reports on manufacturing activity in the Southwest region. The index measuring production should improve slightly to 12.0 in July from 11.4 the month prior.

Although this is a very busy week for earnings, there are no heavy hitters today with the exception of Tyson Foods ( TSN ) and Herbalife (HLF) after the close. Tyson reported weaker-than-expected Q3 earnings as well as plans to sell its Mexican and Brazilian chicken division for $75 million.

European markets were also higher, albeit only fractionally, following the lead of their U.S. counterparts, as well as key economic data this week on EU inflation and German jobs data. In Asia, Hong Kong's Hang Seng rallied to a 3-year high on plans to allow trading between the Hang Seng and Chinese stocks by October.

-Dow Jones Industrial up 0.01%

-S&P 500 futures up 0.01%

-Nasdaq 100 futures up 0.13%


Nikkei up 0.46%

Hang Seng up 0.88%

Shanghai Composite up 2.41%

FTSE-100 up 0.06%

DAX-30 down 0.17%


(+/-) Large cap tech: mixed

(+/-) Chip stocks: mixed

(-) Software stocks: lower

(+/-) Hardware stocks: flat

(+/-) Internet stocks: mixed

(-) Drug stocks: lower

(+/-) Financial stocks: mixed

(-) Retail stocks: lower

(+/-) Industrial stocks: mixed

(+) Airlines: higher

(+) Autos higher


(+) FDO (+23.64%) Offer to buy for $9.2 billion from Dollar Tree ( DLTR )

(+) LOCO (+6.45%) Continues to advance after Friday's $15 IPO

(+) DLTR (+11.12%) Made offer for FDO for $9.2 billion

(+) TRLA (+13.31%) Offered $3.5 billion from Zillow ( Z )


(-) ACRX (-34.35%) FDA asks for more data on Zalviso, downgraded by Canaccord

(-) HZNP (-24.32%) CVS Caremark (CVS) and Express Scripts (ESRX) have placed its DUEXIS and VIMOVO products on their exclusion lists

(-) SOHU (-3.52%) Swings to Q2 loss but beats expectations as revenues climb to record high

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Copyright (C) 2016 All rights reserved. Unauthorized reproduction is strictly prohibited.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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