U.S. stock futures rose, indicating the Standard & Poor’s 500 Index may snap three days of declines, as the gauge traded near the cheapest since 1985. General Motors Corp. and Ford Motor Co. increased more than 2.4 percent in Germany after President Barack Obama yesterday offered $75 billion of relief to homeowners facing foreclosure. Whole Foods Market Inc. jumped 16 percent after profit beat analysts’ estimates. Futures on the S&P 500 expiring in March advanced 1.2 percent to 788.5 as of 12:31 p.m. in London. Dow Jones Industrial Average futures rose 0.8 percent to 7,545 and Nasdaq-100 Index futures increased 0.7 percent to 1,188. The S&P 500 is trading at 10.71 times the earnings of its companies, approaching the 23-year low of 10.46 reached in November, after the measure slumped 13 percent this year. “Markets are providing a buying opportunity,” said Francisco Salvador, head of equities at Venture Finanzas in Madrid. “The S&P is testing the November lows, and should we breach that level then it means equities are reflecting the possibility of an economic depression. I do not think that is a likely scenario.” The S&P 500 yesterday fell as the Federal Reserve cut its forecast for the U.S. economy this year, while government reports showed industrial production shrank more than forecast and housing starts slid to a record low last month. Europe, Asia Stocks in Asia advanced today as a weaker yen boosted the earnings prospects of Japanese automakers. The MSCI Asia Pacific Index increased 0.6 percent, while Europe’s Dow Jones Stoxx 600 Index was little changed. Governments across the world are stepping up measures to stem the worst global recession since World War II. China’s government will seek to boost domestic demand, increase financial input for the electronics and information-technology industry and maintain the level of export tax rebates for electronic products, the State Council, or cabinet, said. The Bank of Japan said it will buy 1 trillion yen ($10.7 billion) in corporate bonds from financial institutions and extend lending programs to prevent a shortage of credit. GM, the largest U.S. automaker, rose 3.9 percent to $2.14 in Germany. Ford added 2.4 percent to $1.71. Whole Foods surged 16 percent to $10.81. The largest U.S. natural-foods grocer reported fiscal first-quarter earnings excluding certain items of 25 cent a share, beating the average analyst estimate by 46 percent. HP, LDK Solar Hewlett-Packard Co. fell 4 percent to $32.73 in New York pre-market trading. The world’s largest personal-computer maker reduced its profit forecast for the year as PC demand waned. LDK Solar Co. tumbled 9.6 percent to $8.12. The Chinese maker of silicon wafers used in solar cells said fourth-quarter revenue was $425 million at most, trailing the average analyst estimate of $482.4 million. Profits dropped 33 percent on average at the 383 companies in the S&P 500 that have reported fourth-quarter earnings since Jan. 12, according to data compiled by Bloomberg. The period is poised to be the sixth straight quarter of decreasing profits, the longest streak on record. A report scheduled for 8:30 a.m. in Washington is expected to show prices paid to U.S. producers rose 0.3 percent in January as fuel costs steadied, according to a survey of economists. Another report from the Labor Department may show 620,000 Americans filed first-time claims for jobless benefits last week, according to the survey median. It would be the first time since 1982 that initial claims exceeded 600,000 for three consecutive weeks. The Conference Board’s index of leading economic indicators, a measure of the economy’s direction over the next three to six months, was unchanged in January, after a 0.3 percent gain in the prior month, according to the median forecast in Bloomberg survey. The Philadelphia Federal Reserve’s gauge of manufacturing probably declined to minus 25 this month from minus 24.3 in January. Readings below zero signal contraction. The two reports are due to be released at 10 a.m. New York time.

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