Stock index futures pointed to a flat open Monday after signs the economy was slowing pushed the index to its fifth week of losses, with many investors expecting the downtrend to continue.
Stocks finished lower for the fifth-consecutive week Fridayafter the disappointing government jobs report in addition to other weak economic news throughout the week indicated signs of a slowdown. If stocks close lower again this week, it will be the longest losing-streak in nine years.
Goldman Sachs dissected the reason behind the sluggish growth in a new report, saying growth will probably rebound in the second half of the year as commodity prices drop back and any Japan-related disruptions unwind.
But the disappointing jobs report does not change the outlook for the economy and chances of a tighter policy in 2011 is "certanly possible" by year-end, said Philadelphia Fed President Charles Plosser, a well-known inflation hawk who has a vote on policy this year.
Among banks, Wells Fargo slipped after Rochdale downgraded the financial giant to "sell" from "neutral." Rivals Citigroup , Bank of America and JPMorgan were also lower.
Meanwhile, Goldman Sachs could release documents to counter a Senate subcommittee report that said the bank misled clients about mortgage-linked securities, according to the Wall Street Journal. The banking giant faces probes by several government authorities into derivatives trades it executed in 2006 and 2007.
Investors will focus on Apple as CEO Steve Jobs is expected to deliver the keynote speech at the company's developers conference in San Francisco. Jobs will present new versions of the company's Mac and mobile operating systems as well as introduce the much-anticipated iCloud.
Also on the tech front, Sony fell after news of a cyber-attack on its European website, extending recent losses made in the wake of earlier hacking incidents that resulted in data breaches. In addition, Nintendo also said it suffered an attack on its network but that the hackers hadn't obtained customer data.