US STOCKS-Wall St set to open modestly higher with eyes on G20 summit

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* Trump-Xi meeting at G20 in focus
* U.S. banks up on clearing Fed's final stress test
* U.S. consumer spending rises in May; inflation muted
* Futures up: Dow 0.32%, S&P 0.24%, Nasdaq 0.13%

(Updates prices, adds comments)
By Shreyashi Sanyal
June 28 (Reuters) - Wall Street was set to open slightly
higher on Friday ahead of a high-stakes meeting between
President Donald Trump and his Chinese counterpart, Xi Jinping,
that could lay the groundwork to resolve their trade dispute.
Trump said he hoped for productive talks with the Chinese
president, but said he had not made any promises about a
reprieve from escalating tariffs. The two leaders are set to
meet on the sidelines of a Group of 20 summit this weekend in
Japan.
However, hopes of a deal were muddied by a report on
Thursday saying Xi would give Trump a set of conditions to be
met by Washington before reaching any settlement. Sentiment was
also dampened by a threat that the United States may move ahead
with further tariffs on Chinese goods after the weekend summit.
"The bar is very low for G20 right now. All we need is a
framework for a deal," said Kim Forrest, chief investment
officer at Bokeh Capital Partners in Pittsburgh.
"And I think the Street thinks that can happen. I think an
agreement to just talk to each other is achievable."
The uncertainty in markets caused by conflicting reports on
trade in the build up to the G20 meet stalled a rally in stocks
this month, with the S&P 500 index .SPX on pace to post its
first weekly loss in June.
Still, hopes that the Federal Reserve will be more
accommodative to counter slowing economic growth had lifted the
benchmark index to a record high last week, putting it on track
to clock its best six-month performance since March 2012.
Giving the Fed more ammunition to cut interest rates next
month was data that showed consumer spending increased
moderately in May and prices rose slightly, pointing to slowing
economic growth and benign inflation pressures.
Meanwhile, global equities recorded their best first-half of
the year ever.
At 8:46 a.m. ET, Dow e-minis 1YMcv1 were up 85 points, or
0.32%. S&P 500 e-minis EScv1 were up 7 points, or 0.24% and
Nasdaq 100 e-minis NQcv1 were up 10.25 points, or 0.13%.
Large-cap U.S. banks rose between 1.5% to 2.7% in premarket
trading after the Fed on Thursday approved capital plans of 16
banks, including JPMorgan Chase & Co JPM.N , Bank of America
Corp BAC.N and Citigroup Inc C.N , in its final stress test
hurdle.
Apple Inc AAPL.O dipped 0.6% after the company said Jony
Ive, a close creative collaborator with the iPhone maker's
co-founder Steve Jobs, will leave later this year. Constellation Brands Inc STZ.N jumped 8% after the Corona
beer maker reported quarterly revenue above analysts'
expectations.