UPDATE 1-UK Stocks-Factors to watch on Tuesday July 1
(Adds futures, company news)
EDINBURGH, July 1 (Reuters) - Britain's FTSE 100 index is set for a steady start to the second half of the year, with futures on the index flat ahead of the cash market open. For more on the factors affecting European stocks, please click on
* The blue-chip FTSE 100 index ended down by 0.2 percent, or 13.83 points, at 6,743.94 points on Monday, led lower by a drop in budget airline easyJet and down more than 2 percent from its 2014 peak of 6,894.88 in May, which marked its highest level since December 1999.
* The index ended the month of June 1.5 percent lower, hit by a surge in violence in Iraq, but finished off the quarter 2.2 percent higher, thanks to earlier strong gains that took the FTSE within touching distance of record highs.
* BSKYB - Britain's largest pay-TV company is in talks to take a majority stake in Love Productions, which produces shows such as "The Great British Bake Off" and "Benefits Street," the Times reported, without citing sources.