U.S. stock index futures rose sharply on Friday as news that Bank of America (BAC.N) had received a $20 billion government capital injection eclipsed signs of continuing fallout from the credit crisis for the financial sector. At the same time Bank of America, the largest U.S. bank, posted a $1.79 billion fourth-quarter loss, excluding Merrill Lynch. Separately, Citigroup (C.N) posted a fourth-quarter net loss of $8.29 billion, and said it would split into two operating units. Citigroup shares rose more than 8 percent before the bell to $4.16, while Bank of America gained more than 7 percent to $8.95. Both stocks are components of the Dow Jones industrial average. S&P 500 futures SPc1 jumped 17.30 points and were above fair value, a formula to evaluate pricing taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures DJc1 climbed 163 points, while Nasdaq 100 futures NDc1 gained 22.25 points. The advance suggested benchmark indexes will open with gains of 2 percent or more, and extend a worldwide stock market run-up which led Asian stocks higher overnight and had European stocks up more than 3 percent on Friday. (Reporting by Ellis Mnyandu; Editing by Theodore d'Afflisio)

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