* U.S. House delays vote on debt deal
* GDP on tap, economists forecast 1.8 pct growth
* Futures off: S&P 5.9 pts, Dow 57 pts, Nasdaq 7.25 pts
* For up-to-the-minute market news see [STXNEWS/US]
(Adds quote, byline, updates prices)
By Angela Moon
NEW YORK, July 29 U.S. stock index futures fell
on Friday after lawmakers in Washington delayed a vote on a
Republican proposal to raise the U.S. government's debt limit.
U.S. House of Representatives Speaker John Boehner's
failure to round up enough votes for his plan late Thursday
exposed a rift in the Republican Party that is hampering
efforts to reach a compromise to raise the U.S. debt ceiling
before a Tuesday deadline. For details, see [ID:nN1E76S004]
House Republicans are due to meet at 10 a.m. EDT (1400 GMT)
to discuss a way forward.
"The fear factor of the debt ceiling crisis is becoming a
major one as we near the deadline," said Peter Cardillo, chief
market economist at Avalon Partners in New York. "There is a
possibility that we might the test the 1,275 level on the
On Thursday, the S&P 500 fell for a fourth straight day,
closing near 1,300 as buyers kept to the sidelines while
lawmakers struggled to hash out an agreement on the deficit and
S&P 500 futures SPc1 fell 5.9 points and were below fair
value, a formula that evaluates pricing by taking into account
interest rates, dividends and time to expiration on the
contract. Dow Jones industrial average futures DJc1 were down
57 points, and Nasdaq 100 futures NDc1 gained 7.25 points.
The Commerce Department releases its first estimate of
second-quarter gross domestic product (GDP) at 8:30 a.m. EDT
(1230 GMT). Economists in a Reuters survey forecast a 1.8
percent annualized pace of growth, compared with a 1.9 percent
rate in the final first-quarter estimate.
Also at 8:30 a.m., the Labor Department issues the
Employment Cost Index for the second quarter. Economists expect
a rise of 0.5 percent versus a 0.6 percent rise in the first
Chevron Corp (CVX.N), the second-largest U.S.-based oil and
gas producer, will report second-quarter earnings that are
expected to rise as higher prices for oil and robust refining
margins helped offset slightly lower total output.
In other economic data, the Institute for Supply
Management-Chicago releases July business barometer at 9:45
a.m. EDT (1345 GMT). Economists forecast a reading of 60.0 in
the month, compared with 61.1 in June.
The Thomson Reuters/University of Michigan Surveys of
Consumers July final consumer sentiment index is reported at
9:55 a.m. EDT (1355 GMT). Economists look for a reading of
64.0, compared with 63.8 in the preliminary July report.
The euro zone debt crisis is also a concern to markets.
Rating agency Moody's put Spain on review for a possible
downgrade on Friday, adding to worries that a Greek rescue
package has done little to halt the spread of Europe's debt
Amgen Inc (AMGN.O), the world's largest biotechnology
company, is expected to post lower profit and revenue as sales
of its once top-selling anemia drug Aranesp continues to
(Reporting by Angela Moon; editing by Jeffrey Benkoe)