U.S. stock futures signal losses; oils in focus

* U.S. stock index futures pointed to a lower open on Wall
Street on Monday, with futures for the S&P 500 (SPc1: ) down 0.46
percent, Dow Jones (DJc1: ) futures down 0.51 percent and Nasdaq
100 (NDc1: ) futures down 0.21 percent at 0755 GMT.

* Sovereign debt worries in the euro zone were still at the
forefront of investors’ minds on Monday, with the euro sinking
to four-year lows while Asian and European stocks added to
Friday’s sell-off.

* Japan’s Nikkei average (.N225: ) dropped 2.2 percent to a
10-week closing low as the euro zone worries chilled investor
sentiment, while European shares inched lower in morning trade
after losing more than 3 percent on Friday, led lower by banks
such as UBS (UBSN.VX: ) and Credit Agricole (CAG.PA: ).

* Energy shares will feel the pinch of lower oil prices,
with crude oil futures (CLc1: ) falling below $70 a barrel on
Monday, to its lowest in more than three months, extending a
loss of nearly 17 percent over the past two weeks on fears over
Europe’s debts, the weak euro and swollen U.S. oil inventories.

* Shares of BP (BP.L: ) regained ground on Monday, up 1.8
percent, after the energy major said it was making some progress
in its efforts to contain the oil gushing forth from a ruptured
well in the Gulf of Mexico. [nSPILL]

* Financial stocks will also be in the spotlight after
Britain’s Prudential (PRU.L: ) launched its $21 billion rights
issue on Monday, finally allowing the insurer to push ahead with
its acquisition of AIG’s (AIG.N: ) Asian insurance business.
[ID:nTOE64G02C]

* On the M&A front, hospital operator Universal Health
Services Inc (UHS.N: ) said it will buy mental health facilities
operator Psychiatric Solutions Inc (PSYS.O: ) for about $2 billion
in cash plus the assumption of about $1.1 billion of debt.
[ID:nSGE64G09E]

* Hedge fund firm Man Group PLC (EMG.L: ) has agreed a deal to
buy rival GLG Partners (GLG.N: ) giving it a much needed boost in
efforts to break the U.S. and creating a new giant in an
industry reshaping after the financial crisis.

Man Group, already the world’s largest listed hedge fund
manager, said on Monday it had negotiated a recommended deal
which values GLG at about $1.6 billion. The combined group will
have assets of about $63 billion.

* Private equity firm Apollo Global Management is in talks
to buy U.S. packaging maker Pactiv Corp (PTV.N: ) in a leveraged
deal, the Wall Street Journal said, citing people familiar with
the situation.

* Samsung Electronics (005930.KS: ), the world’s largest
memory chip maker, is doubling its projected capital spending
this year to a record $16 billion to make more chips and flat
screens, turning up the heat on smaller rivals.

* On the earnings front, Lowe’s (LOW.N: ) and Agilent Tech
(A.N: ) feature among the companies due to report results on
Monday, while on the macro side investors will keep an eye on
the New York Federal Reserve’s Empire State Manufacturing Survey
for May, while the National Association of Home Builders/Wells
Fargo issues its May housing market index.

* U.S. stocks (Read more about the stock market today. ) fell on Friday on a combination of weak
earnings from retailers, Senate backing for limits on credit
card fees and concerns over the sustainability of European
public debt.

* The Dow Jones industrial average (.DJI: ) dropped 162.79
points, or 1.51 percent, to end at 10,620.16. The Standard &
Poor’s 500 Index (.SPX: ) fell 21.76 points, or 1.88 percent, to
1,135.68. The Nasdaq Composite Index (.IXIC: ) lost 47.51 points,
or 1.98 percent, to close at 2,346.85.

Investment Basics

(Reporting by Blaise Robinson; Editing by Jon Loades-Carter)

U.S. stock futures signal losses; oils in focus