Futures Suggest Sharp Pullback in Stocks

By Ieva M. Augstums

The stock market is headed for another pullback as investors around the world grow pessimistic about the economic recovery.

U.S. stock futures were down sharply Monday, following the lead of falling stock markets around the world. Stock investors are taking their cues from the tumbling price of oil, which has dropped to below $64 a barrel on the growing belief that the economy won't be strong enough to lift demand as much as expected.

Investors are also anxiously awaiting the start of second-quarter earnings reports. They're hoping to see if companies' results and their forecasts for the rest of the year yield clues about the economy.

Investors are waiting for a key report on the U.S. service sector, due out at 10 a.m. EDT.

Dow Jones Industrial Average futures were down 86 at 8,155. S&P 500 index futures were down 9 at 884, while Nasdaq 100 index futures were down 13 at 1,432.