TOP STORIES
US APRIL FACTORY ORDERS DIP 0.6%; MARCH REVISED DOWN
Demand for U.S. factory goods falls again, a worrying sign for a sector that's been a steady source of job creation during the recovery. The 0.6% drop is worse than the flat reading economists had expected. March orders are revised to down 2.1% from down 1.5%.
US STOCKS LITTLE CHANGED; FACTORY DATA DISAPPOINT
Stocks are trading mixed with the DJIA down a handful of points after U.S. factory orders fall to their lowest level in half a year. Home Depot and American Express lead Dow gainers while Caterpillar and JP Morgan are lower.
US LAWMAKERS PROBE JP MORGAN OVERSIGHT
A federal agency that oversees J.P. Morgan Chase takes heat over how much it knew about risk-taking in the part of the bank that suffered more than $2 billion in trading losses.
NY MAY BUSINESS CONDITIONS INDEX PLUNGES
New York City business activity comes to a "screeching halt," with the Institute for Supply Management's business conditions index for the state falling sharply to 49.9 in May from 61.2 in April.
CONFERENCE BOARD'S EMPLOYMENT INDEX UP IN MAY
Despite government reports of weaker growth in payrolls, a compilation of U.S. labor indicators continues to gain ground, with the Conference Board's May employment trends index rising 0.29% to 108.34 from 108.03 in April
FED'S 'SENSIBLE CENTER' WANTS NO POLICY SHIFT
Cleveland Fed President Sandra Pianalto wants to keep Fed policy where it is, and be prepared to do more if her economic forecast substantially deteriorates.
BOFA WAS TOLD OF MERRILL LOSSES BEFORE DEAL
Before shareholders approved its $50 billion buy of Merrill Lynch in 2008, Bank of America was informed of far greater losses at Merrill than had been disclosed to regulators, according to court documents filed in a shareholder lawsuit, the New York Times reports.
TROIKA PRAISES PROGRESS IN PORTUGAL
Portugal's international creditors praised Lisbon's implementation of its bailout program, opening the door for the country to get further funds from its creditors.
PIMCO SAYS GREECE EXIT MAY BE WORSE THAN LEHMAN
The fallout from a disorderly Greece exit from the euro zone might be more destructive to global markets and economies than the collapse of Lehman Brothers, a senior portfolio manager at Pacific Investment Management warns.
US AUTO SALES SEEN UP TO 14.5M IN 2012
U.S. auto sales are expected to climb to 14.5 million this year, at the high end of the existing consensus, despite a slowdown in May, according to industry experts polled by the Federal Reserve Bank of Chicago.
SPAIN, EU DISCUSS WAYS TO SAVE BANKS
Spanish Finance Minister Luis de Guindos has embarked on an intense round of negotiations with his European partners to find a solution to save the country's banking system, El Pais reports.
======= DOW JONES NEWSWIRES ANALYSIS AND COMMENTARIES =======
US STOCKS VIEW
The Notion of a Summer Rally is Pure Fiction
Even though the summer is a seasonally unfavorable time for the stock market, brokers come up with plausible-sounding rationales for why gullible clients should bet on higher prices. The rationale that always crops up after Memorial Day is the notion of a summer rally, writes Mark Hulbert.
THE WALL STREET JOURNAL
Investors Brace for Slowdown
Pressure is growing on policy makers around the world to take steps to bolster their economies as the U.S. and China show fresh signs of slowing and the fallout from Europe's debt crisis spreads.
============ U.S. MARKETS ACTION ===========
DJIA down 39.96 points to 12079.21
NASDAQ down 8.57 points to 2738.91
S&P 500 down 5.58 points to 1272.61
10-year T-note 102 8/32 at 1.5031 yield
NYMEX Crude down $0.01 at $83.21/bbl
Dollar/Euro up 0.0089 at 1.2496
