BLBG: U.S. Index Futures Rise as Investors Watch Greece, Economic Data
U.S. stock-index futures signaled a rebound for equities, as investors weighed Greek debt talks and awaited jobs data to gauge when the Federal Reserve will raise rates.
Standard & Poor’s 500 Index E-mini contracts expiring this month added 0.5 percent to 2,116.75 at 7:30 a.m. in New York. Dow Jones Industrial Average futures rose 77 points, or 0.4 percent, to 18,078.
A private report at 8:15 a.m. New York time may signal company hiring picked up in May after reaching a one-year low in April, while another release may show services expanded at a slower pace. The government’s employment data is due Friday. Later today, the Fed releases its Beige Book survey, which provides anecdotal information about the economy based on reports from regional banks. Economists project the first rate increase will come in September.
“Markets are walking a fine and narrow line at the moment, with few positive catalysts to keep us higher and a lot of risks to watch out for,” said Ralf Zimmermann, an equity strategist at Bankhaus Lampe KG in Dusseldorf. “Key labor market data out of the U.S. this week could bring the concern around a Fed rate hike back to the foreground. All eyes are on Greece as well. We could see a relief rally in the next few days or some more downside if talks drag on.”
The S&P 500 dropped 0.1 percent on Tuesday, after reaching a three-week low intraday. The benchmark gauge hasn’t had back-to-back gains in more than two weeks. It has declined 1 percent from its May record, trimming an annual advance that’s still among the worst in developed markets.
Greek Proposal
Investors are also speculating whether Greece will reach a deal with European leaders and the International Monetary Fund before payment deadlines due this month. Prime Minister Alexis Tsipras will hear details of a final proposal from creditors when he meets European Commission President Jean-Claude Juncker in Brussels on Wednesday.
Among shares active on corporate news, Synchronoss Technologies Inc. surged 18 percent in premarket trading after the Wall Street Journal reported the company is exploring a sale valuing it at more than $2 billion.
G-III Apparel Group Ltd. jumped 6.6 percent after the upper end of its quarterly earnings forecast beat analysts’ estimates. Ambarella Inc. advanced 3.8 percent after reporting profit and sales that exceeded projections.
