By Michael P. Regan May 27 (Bloomberg) -- U.S. stock-index futures maintained gains even after government data showed the economy grew at a slower pace than previously calculated in the first quarter and jobless claims fell less than economists estimated. Futures on the Standard & Poor’s 500 Index expiring in June climbed 2 percent to 1,082.8 at 8:33 a.m. in New York. Dow Jones Industrial Average futures increased 1.6 percent to 10,078. The 3 percent increase at an annual rate in gross domestic product was less than the median estimate of economists surveyed by Bloomberg News and compares with an advance estimate of 3.2 percent issued last month, figures from the Commerce Department showed. Initial jobless claims fell by 14,000 to 460,000 in the week ended May 22, Labor Department figures showed today in Washington. Economists forecast claims would drop to 455,000, according to the median estimate in a Bloomberg News survey. Futures maintained gains triggered earlier by speculation that recent declines in equities are overdone after China affirmed its commitment to investing in Europe, allaying concern that the debt crisis will worsen. China is a responsible long-term investor and Europe has been and will be a major investment market, the State Administration of Foreign Exchange said in a statement on its website today. The Financial Times reported yesterday that the administration met with bankers because of concerns about exposure to Europe, without saying where it got the information. China Investments In addition, China’s official Xinhua News Agency said the nation’s $300 billion sovereign wealth fund will maintain its investments in the euro region, citing China Investment Corp. President Gao Xiqing. The S&P 500 has fallen 12 percent since its high this year on April 23, and is poised for its worst month since February 2009, after credit-ratings downgrades of Greece, Portugal and Spain added to concern some European nations will struggle to fund their budget deficits. Barton Biggs, who runs New York-based hedge fund Traxis Partners LP and recommended buying U.S. stocks last year when benchmark indexes sank to the lowest levels since the 1990s, said U.S. equity markets are oversold and may rally strongly over the next few days. “I think they’re going to stabilize in this general area, and then we’re going to have a significant move to the upside,” Biggs, whose flagship fund returned three times the industry average last year, said in a Bloomberg Television interview.

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