Business Excellence Awards
Applications are now being accepted for the 14th Annual Business Excellence Awar ...
By Sofia Horta e Costa
By Sofia Horta e Costa
LONDON - U.S. stock-index futures rose, signaling the Standard & Poor’s 500 Index will rebound from its longest losing streak this year, as investors awaited data on jobs and home sales to assess the pace of the economic recovery.
Bed Bath & Beyond Inc. gained 5.8 percent in German trading after raising the low end of its full-year earnings forecast. Caesars Entertainment Corp. slipped 4 percent as the casino operator began selling 10 million new shares. Hertz Global Holdings Inc. sank 7.4 percent after cutting its forecasts.
S&P 500 futures expiring in December rose 0.2 percent to 1,689.1 at 7:24 a.m. in New York. The benchmark gauge for U.S. equities has declined 1.9 percent in the past five days after closing at an all-time high on Sept. 18, as President Barack Obama failed to reach a deal with congressional Republicans over the federal budget. Contracts on the Dow Jones Industrial Average added 25 points, or 0.2 percent, to 15,235 today.
“Washington has been dragging their feet as of late but eventually they’ll be forced into action,” said Patrick Spencer, head of U.S. equity sales for Robert W. Baird & Co. in London. “We’ve been down this road before. It’s quite natural and healthy to have pull-backs in a bull market. We’ll shift into a stronger gear with a settlement on the budget and what I think will be a very positive earnings season.”
Investors will watch economic reports to help determine whether U.S. growth is sufficient for the Federal Reserve to begin reducing its $85 billion in monthly bond purchases. Revised data today may show the economy grew at an annualized 2.6 percent pace in the second quarter, compared with an earlier reading of 2.5 percent, economists predicted before the Commerce Department releases the figures at 8:30 a.m. in Washington.
A separate report may show an index of pending home sales slipped 1 percent in August for a third consecutive month of declines, economists surveyed by Bloomberg projected. That would follow a 1.3 percent drop in the prior month, which was the biggest retreat this year. The National Association of Realtors releases the figures at 10 a.m. in Washington.