Futures Dip as Fed Euphoria Fades; Apple Gains

U.S. stock index futures were lower Monday, as investors looked to take a breather following last week's sharp rally and as euphoria over the Federal Reserve's decision on quantitative easing faded.

European shareswere lower as fears about the euro zone’s indebted peripheral nations resurfaced with thousands protesting in Spain and Portugal austerity measures.

Stocks logged a four-day rally last Friday and posted sharp gains for the second-straight week as investors cheered the Federal Reserve’s decision to embark on another round of monetary stimulus.

AT&T said it set a sales of Apple's iPhone 5 set a record over the weekend, making the new device the fastest-selling iPhone the company has ever offered. Meanwhile, BMO raised its price target to $750 from $680 on the iPhone maker.

Tyco International declined after shareholders approved a breakup of the industrial conglomerate into three parts.

On the M&A front, IRIS International surged after Danaher said it will acquire the diagnostics company in a deal worth $355 million.

On the economic front, factory activity in New York state dropped to minus 10.41 in September, declining to its lowest level in nearly 3-1/2 years, according to the New York Federal Reserve. Economists had expected a reading of minus 2, according to a Reuters poll.

Japanese companies such as Toyota , Honda and Sony were under pressure as anti-Japan demonstrations in China intensified, leading to some factory shutdowns. The protests were sparked by disputes over islands in the East China Sea.

No major U.S. companies are expected to report earnings on Monday. (Read More: US Earnings Outlook Dims as Global Economy Slows)

By CNBC’s JeeYeon Park (Follow JeeYeon on Twitter: @JeeYeonParkCNBC)

Coming Up This Week:

TUESDAY: Fed's Evans speaks, current account, Treasury int'l capital, housing market index, Fed's Lacker speaks, Ford Fusion launch; Earnings from FedEx
WEDNESDAY: Weekly mortgage apps, housing starts, existing home sales, oil inventories; Earnings from AutoZone, General Mills, Adobe Systems, Bed Bath & Beyond
THURSDAY: Jobless claims, Philadelphia Fed survey, leading indicators, Fed's Kocherlakota speaks; Earnings from CarMax, ConAgra, Rite Aid, Oracle
FRIDAY: Quadruple witching, Fed's Lockhart speaks, iPhone 5 shipping date

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