* ADP employment, ISM non-manufacturing on tap
* Applied Materials to buy Varian Semiconductor
* Futures off: Dow 9 pts, S&P 1.6 pts, Nasdaq 5.25 pts
By Chuck Mikolajczak
NEW YORK, May 4 (Reuters) - U.S. stock index futures edged lower on Wednesday as investors awaited data on the services industry and labor market for insight into the health of the economic recovery.
* The ADP employment report at 8:15 a.m. EST is expected to show job creation slowed modestly, with economists forecasting the number of private jobs grew by 198,000 in April, compared with 201,000 a month earlier.
* Also, the ISM non-manufacturing index for April is due at 10 a.m. EST, with economists forecasting a tick up to 57.4 from 57.3 on the back of growth in its business activity index.
* Chip equipment maker Applied Materials Inc is snapping up rival Varian Semiconductor Equipment Associates Inc for $4.9 billion in cash as it looks to acquire new technology to meet increased demand for smartphones and solar equipment.
* Varian shares surged 50.6 percent to $61.05 in premarket trade.
* ConAgra Foods Inc raised its bid for Ralcorp Holdings Inc to $86 a share in cash from $82 in cash and stock as it seeks to grow its private-label food business.
* Ralcorp shares jumped 10.4 percent to $92 premarket.
* S&P 500 futures shed 1.6 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures dropped 9 points, and Nasdaq 100 futures lost 5.25 points.
* Corporate profit reports will continue to filter in as earnings season begins to wind down. IntercontinentalExchange Inc, Kellogg Co and News Corp are scheduled to report.
* Through Tuesday, with 360 of the S&P 500 companies having reported, 71 percent had earnings that topped Wall Street expectations, according to Thomson Reuters data.
* European stocks extended losses Wednesday around midday in a broad retreat led by mining and energy stocks, eclipsing robust results from BNP Paribas.
* Asian shares fell along with commodity prices as the dollar rose, causing a pullback in risk-taking.
* U.S. stocks fell Tuesday as investors questioned the sustainability of the rally in light of fresh worries about earnings growth in the coming quarters.