BLBG: U.S. Stock-Index Futures Advance; S&P 500 May Extend Its Four-Week High
U.S. stock-index futures rose, indicating the benchmark Standard & Poor’s 500 Index will extend a four-week high, before a report that may show unemployment claims fell.
Exxon Mobil Corp. (XOM), the world’s largest oil company, led gains among Dow Jones Industrial Average companies trading in Europe. Caci International Inc. (CACI), the Arlington, Virginia-based software maker, may be active after its profit forecasts exceeded estimates.
Futures on the S&P 500 expiring in September gained 0.2 percent to 1,307.1 at 10:39 a.m. in London. Dow futures advanced 27 points, or 0.2 percent, to 12,245.
A report today at 8:30 a.m. Washington time may show that unemployment claims fell last week to 420,000 from 429,000 the previous week, according to the median estimate of 43 economists in a Bloomberg survey. Another release from the Institute for Supply Management-Chicago Inc. may show business activity in the U.S. cooled for a fourth month in June.
U.S. stocks rallied yesterday after Greece passed an austerity package needed to avoid default and as the Federal Reserve relaxed restrictions on debit-card transaction fees, sending Visa Inc. and MasterCard Inc. up more than 11 percent.
Greek Prime Minister George Papandreou must today win a second ballot to execute measures ranging from tax increases to asset sales. A debate on the second stage of the austerity package resumed at 10 a.m. in Athens.
German Bank Plan
Germany’s biggest banks and insurers and the government have agreed on a draft proposal to roll over Greek debt holdings, people familiar with the plan said.
The financial firms will commit to providing financing for a Greek aid package and an announcement is planned this afternoon, said the people, who declined to be identified because the talks are private. The draft could still be changed during a meeting today with Finance Minister Wolfgang Schaeuble and top industry executives, the people said.
The S&P 500 has fallen 2.8 percent in June, headed for a second straight monthly loss, amid concern about the European debt crisis and weaker-than-expected economic data. The decline brings this quarter’s drop to 1.4 percent.
The index has still gained 4 percent in 2011 on government stimulus measures and better-than-estimated company profits. The Federal Reserve’s second round of quantitative easing, known as QE2, concludes today.
Exxon Gains
Exxon rose 0.8 percent to $80.88 today. Crude slipped 0.3 percent to $94.47 a barrel in New York, after rallying 4.6 percent over the previous two days.
Caci International may be active after the company projected fiscal 2012 profit of at least $4.60 a share, topping the average analyst estimate of $4.53 in a Bloomberg survey. The company also boosted its fiscal 2011 earnings guidance to as much as $4.40 a share. The shares didn’t trade in Europe.
Terex Corp. (TEX), the maker of Powerscreen rock crushers, gained 1.1 percent to $27.5 in German trading after the company said it held more than 10 percent of Demag Cranes AG, as of 6 p.m. Frankfurt time on June 29. Terex has offered to buy Demag Cranes for 45.50 euros a share.
To contact the reporter on this story: Corinne Gretler in Zurich at cgretler1@bloomberg.net
To contact the editor responsible for this story: Andrew Rummer at arummer@bloomberg.net