NEW YORK (CNN/Money) -
New concerns about oil in the wake of the suspension of Chinese shipments by the Russian producer Yukos could send stocks lower at the start of trading Monday.
Early Monday, Nasdaq and S&P futures were down.
Oil prices rose after the Russian producer, under attack from the government for billions in back taxes, halted exports to China -- the first sign of supply disruptions due to the financial difficulties.
In addition, oil traders are concerned that Tropical Storm Jeanne, now wading through the Caribbean, could disrupt U.S. shipments already hampered by Hurricane Ivan last week.
U.S. crude futures rose 33 cents to $45.92 a barrel in electronic trading, while Brent oil futures gained 31cents to $42.76 a barrel in London.
Also adding to Wall Street's early angst is concern about interest rates. Federal Reserve policy makers meet Tuesday, and are expected to raise rates by a quarter percentage point. What will be closely watched will be the statement pointing to the Fed's thinking on rates for the rest of 2004 and beyond.
The Dow Jones industrial average is coming off a losing week even though the blue-chip indicator gained 40 points Friday. The Nasdaq composite index was up last, including Friday's 6-point advance.
Asian-Pacific stocks ended mostly higher; Tokyo was closed for a holiday. European markets slipped in early trading. Leading European consumer products maker Unilever (UN: Research, Estimates) shares fell about 6 percent after it warned of a drop in third quarter earnings. (Check the latest on world markets)
Among U.S. stocks trading in Europe, Wal-Mart Stores (WMT: Research, Estimates) was little changed. The world's No. 1 retailer said it still expects September same-store sales to be up 2 to 4 percent, even with the impact of Hurricane Ivan.
Also little changed was Time Warner (TWX: Research, Estimates). The media company's HBO cable network was a big winner at the Emmy award ceremony in Los Angeles, led by the drama series "The Sopranos" and the mini-series "Angels in America." Time Warner is the parent of CNN/Money.
Treasury prices rose in early trading, sending the 10-year note yield down to 4.10 percent from 4.11 percent late Friday. The dollar weakened against the yen, but was higher versus the euro. Gold was higher.
In other corporate news, Computer Associates International (CA: Research, Estimates) and federal prosecutors are discussing a resolution of a two-year accounting-fraud investigation, according to a report in the Wall Street Journal. The paper said the settlement could include both a monetary payment and the appointment of an independent monitor to oversee the company's accounting practices.
Troubled telecommunications company MCI has quietly begun shopping itself to potential buyers, according to a report in the New York Times Monday. The paper said the company has hired three investment banks to help find potential buyers and hopes to fetch $6 billion in a sale.
Athletic apparel and equipment maker Nike is due to report earnings Monday. Analysts surveyed by earnings tracker First Call forecast that earnings per share at Nike (NKE: Research, Estimates) gained 13 percent to $1.11.
PMC-Sierra (PMCS: Research, Estimates), a maker of computer chips used in high-speed broadband communications, lowered its revenue guidance for the third quarter. The company blamed a drop in customer demand and inventory levels.
Yahoo! (YHOO: Research, Estimates) CEO Terry Semel has emerged as a top contender for CEO of Walt Disney (DIS: Research, Estimates) when Michael Eisner retires in 2006, according to a report in the San Jose Mercury News. The paper said Semel, who is the former head of Warner Bros. studios, is attractive to the Disney board due to his success at turning around Yahoo!
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