U.S. jobs growth probably snapped back in May from weather-related distortions that had slowed hiring, suggesting the economy was still expanding moderately despite strong headwinds from Europe.

China's slowdown worsened in May as its factories saw a further deterioration in demand at home and abroad, dealing a new blow to a global economy struggling with a sharp downturn in Europe and a faltering recovery in the United States.

Exxon Mobil Corp, the world's largest publicly traded energy company, plans to build a multi-billion dollar chemical plant in Texas to take advantage of cheap North American shale gas, according to a U.S. environmental filing seen by Reuters.

The Commerce Department releases April personal income and consumption data at 1230 GMT. Economists expect a 0.3 percent rise in income and a 0.3 percent increase in spending. In March, income was up 0.4 percent and spending rose 0.3 percent.

Markit Economics Limited releases at 1258 GMT U.S. final Markit Manufacturing PMI for May. The index read 53.94 in the flash (preliminary) May release.

Growing concern over the past actions of Wal-Mart Stores Inc executives and board members threatens to cast a pall over the world's largest retailer's annual shareholder meeting and 50th anniversary party on Friday.

The Institute for Supply Management releases at 1400 GMT its May manufacturing index. Economists expect a reading of 53.9 versus 54.8 in April.

Google Inc accused Microsoft Corp and Nokia of conspiring to use their patents against smartphone industry rivals, and said it had filed a formal complaint with the European Commission.

The Commerce Department releases April construction spending numbers at 1400 GMT. Economists forecast a rise of 0.4 percent, compared with a 0.1 percent increase in March.

The Economic Cycle Research Institute releases at 1430 GMT its weekly index of economic activity for May 25. In the prior week, the index read 123.1.

Brent crude oil fell to its lowest since October 2011 as weak manufacturing activity data from the world's second-largest oil user China raised concern of a slowdown in demand.

European shares fell 0.4 percent as lingering fears over the debt-ridden economies of Greece and Spain, which in May pushed major markets to their worst monthly loss since last August, weighed on investors' minds.

U.S. stocks fell modestly on Thursday to close out their worst month since September as investor sentiment sank on Europe's deepening credit problems.

The Dow Jones industrial average dropped 26.41 points, or 0.21 percent, to 12,393.45. The S&P 500 Index fell 2.99 points, or 0.23 percent, to 1,310.33. The Nasdaq Composite lost 10.02 points, or 0.35 percent, to 2,827.34.

(Reporting by Atul Prakash; editing by Andrew Roche)

• A Permanent Economic Emergency