U.S. stock-index futures were little changed, after the Standard & Poor’s 500 Index yesterday closed at a record, as investors weighed bank earnings and awaited a report on consumer confidence. JPMorgan Chase & Co. (JPM) and Wells Fargo & Co. rose at least 0.8 percent after each lender reported earnings that topped analysts’ estimates. Dell Inc. climbed 0.6 percent after billionaire investor Carl Icahn said he will increase his offer for the personal-computer maker by adding a warrant. United Parcel Service Inc. (UPS) fell 3.2 percent as it cut its forecast. Futures on the S&P 500 (SPX) expiring in September fell less than 0.1 percent to 1,669.70 at 8:40 a.m. in New York. Contracts on the Dow Jones Industrial Average added 9 points, or 0.1 percent, to 15,402 today. “There’s a lack of blockbuster macro events today, which brings banks reporting increasingly into focus,� Witold Bahrke, who helps oversee $55 billion as a senior strategist at PFA Pension A/S in Copenhagen, wrote in a message. “Despite the beginning of the earnings season, we are still in a highly policy-driven market environment. For the moment, the dominating theme is a belief that tapering doesn’t doom equities, rather than questioning if tapering takes place at all.� The S&P 500 gained 1.4 percent to 1,675.02 yesterday after Federal Reserve Chairman Ben S. Bernanke backed sustained monetary stimulus. The gauge has added 2.6 percent this week and erased losses since Bernanke first signaled the Fed may trim its $85 billion in monthly bond purchases later this year. Winning Streak Central bank stimulus has helped fuel a rally in stocks worldwide, with the benchmark U.S. index surging 148 percent from its March 2009 low. The S&P 500 has advanced for six straight days, the longest winning streak since March 11. The S&P 500 sank as much as 5.8 percent after reaching a record May 21, the day before Bernanke said the central bank may start paring stimulus efforts as soon as September if the economy improves in line with its forecasts. The equity gauge has rebounded 6.1 percent from a June 24 bottom as economic data from hiring to housing tempered concern over the possible scaling back of Fed stimulus. Data today indicated wholesale prices in the U.S. rose more than projected in June, reflecting higher costs for energy and automobiles. The 0.8 percent gain in the producer price index was the biggest since September and followed a 0.5 percent rise the prior month, a Labor Department report showed. Confidence Report A report later this morning may show consumer confidence gained in July. The Thomson Reuters/University of Michigan index of consumer sentiment rose to 84.7 from 84.1, according to the median forecast in a Bloomberg survey. Investors have also watched earnings results this week. Profit at companies listed on the S&P 500 rose 1.8 percent last quarter, down from a projection of 8.7 percent six months ago, according to analyst estimates compiled by Bloomberg. Lower expectations helped about 73 percent of the companies in the benchmark measure exceed forecasts by an average of 5.1 percent for the first three months of the year, Bloomberg data show. JPMorgan gained 0.8 percent to $55.58 as the largest U.S. bank by assets reported a 31 percent increase in second-quarter profit that beat analysts’ estimates as revenue from trading stocks and bonds climbed. Second-quarter net income rose to $6.5 billion, or $1.60 a share, from $4.96 billion, or $1.21, in the same period a year earlier, the New York-based company said in a statement. The average estimate of 30 analysts surveyed by Bloomberg called for earnings of $1.45 adjusted for a one-time accounting item. Wells Fargo Wells Fargo (WFC) jumped 1.6 percent. The largest U.S. home lender said second-quarter profit climbed 19 percent as the company clamped down on expenses. Net income advanced to $5.52 billion, or 98 cents a share, from $4.62 billion, or 82 cents, a year earlier, the San Francisco-based company said today in a statement. The average estimate of 33 analysts surveyed by Bloomberg, excluding some items, was 93 cents a share. Dell rose 0.6 percent to $13.43. Icahn said yesterday he will add a warrant to his $14 offer. Holders of the warrant would be able to exchange for additional stock should Dell climb to “around $20.� Founder Michael Dell is seeking to take the company private to expand the business in tablets and cloud computing. Icahn, who holds an 8.7 percent stake in Dell, has been trying to force Dell and buyout partner Silver Lake Management LLC to sweeten their $13.65-a-share offer. UPS Forecast UPS tumbled 3.2 percent to $88.50. The world’s largest package-delivery company lowered its forecast for the year, citing a slowing in package volume growth as a result of labor negotiations. UPS estimates earnings of no more than $4.85 a share for the year, below estimates of $4.98 and a prior forecast of $4.80 to $5.06. Valero Energy Corp. sank 3.9 percent to $33.21. The world’s largest independent refiner forecast earnings in the second quarter will be no more than 90 cents a share. That fell short of the $1.26-profit estimated by analysts on average. The San Antonio, Texas-based company said earnings in the refining segment during the period will be down this year on lower discounts for heavy sour crude, higher natural gas costs and costs to comply with renewable fuel standards. To contact the reporter on this story: Tom Stoukas in Athens at astoukas@bloomberg.net To contact the editor responsible for this story: Lynn Thomasson at lthomasson@bloomberg.net

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