U.S. stock-index futures gained, indicating the Standard & Poor’s 500 Index will rebound from a two-month low, on speculation a bank-rescue plan from President Barack Obama will boost financial companies. Citigroup Inc. and Bank of America Corp, the biggest U.S. banks by assets, surged more than 4 percent. International Business Machines Corp. climbed 4.2 percent after its 2009 profit forecast topped analysts’ estimates. U.S. stocks sank yesterday, sending the Dow Jones Industrial Average to its worst Inauguration Day decline, as speculation banks must raise more capital pushed financial shares to an almost 14-year low. The S&P 500 is off to its worst start to a year, shattering the biggest rally since World War II as analysts cut earnings estimates by a record 83 percentage points and companies signal worse to come. “Obama’s plan is a pacifier,” said Roger Kunz, head of investment strategy at Clariden Leu in Zurich, which has about $120 billion in assets. “The optimism of Americans is a plus and an opportunity to get the situation under control but we have to give him some time.” Futures on the S&P 500 expiring in March rose 0.6 percent to 810.4 at 7:54 a.m. in New York. Dow futures added 0.5 percent to 7,984. Nasdaq-100 Index futures added 0.1 percent to 1,148.5. Europe’s Dow Jones Stoxx 600 Index dropped 1.4 percent, led by financial companies amid concern banks may need to raise more capital. The MSCI Asia Pacific Index slid 2 percent. Bank Rescue Treasuries fell for a third day as traders added to bets deflation will become less of a concern after Obama called on Americans to rebuild the economy. Obama meets with his economic advisers today. The new president’s team is pushing to complete a bank-rescue plan that can be twinned with the $825 billion stimulus package being negotiated with Congress to alleviate the deepening financial crisis. While full details of the rescue haven’t been settled yet, people familiar with the deliberations said the package is likely to include a $50 billion-plus program to stem foreclosures, fresh injections of capital into the banks and steps to deal with toxic assets clogging lenders’ balance sheets. Citigroup, the U.S. bank that received a government-backed capital injection of $20 billion in November, surged 7.5 percent to $3.01 in New York. Bank of America, the biggest U.S. lender by assets, rose 4.9 percent to $5.35. JPMorgan Chase & Co. advanced 2.8 percent to $18.59 in Europe. IBM, Ford IBM added 4.2 percent to $85.43. The biggest computer- services provider posted fourth-quarter profit of $4.43 billion, or $3.28 a share, surpassing analysts’ estimates, as the top provider of computer services coped with a worldwide technology slump by cutting overhead costs and adding products. Ford Motor Co., the second-largest U.S. automaker, added 1.9 percent to $2.17 in Germany. Lear Corp., the world’s second- largest maker of automotive seats, rallied 6.6 percent to $1.13. The two companies were upgraded to “hold” from “sell’ at Deutsche Bank AG. McDonald’s Corp. gained 0.5 percent to $57.35. The world’s largest restaurant company was added to Goldman Sachs Group Inc.’s “conviction buy” list on its “ability to meet or exceed earnings expectations over the next couple quarters.” Wal-Mart Stores Inc. declined 0.6 percent to $50.26. The world’s biggest retailer was cut to “neutral” from “outperform” at Credit Suisse Group AG, which said “waning inflation and slowing square footage growth should pressure sales growth.” Forest Laboratories Inc. fell 1.3 percent to $25.19. Goldman Sachs downgraded the drugmaker to “sell” from “neutral.” BlackRock Inc. slid 3.3 percent to $99.99 in pre-market trading in New York. The largest publicly traded U.S. asset manager said fourth-quarter earnings fell 84 percent as losses in stock and bond markets cut fees. Excluding some items, profit was 68 cents a share, below the average analyst estimate of 99 cents. Asset values declined by $80.5 billion in the quarter.

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