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US STOCKS-China data helps futures edge higher
July 15, 2013 / 11:17 AM / 4 years ago

US STOCKS-China data helps futures edge higher

* China’s Q2 growth slows, but not as bad as some had feared

* U.S. economic data on tap includes retail sales, Empire State

* Futures up: Dow 30 pts, S&P 2.4 pts, Nasdaq 10.25 pts

NEW YORK, July 15 (Reuters) - U.S. stock index futures edged higher on Monday after data overseas suggested the slowdown in economic growth in China - the world’s second-largest economy - was not as bad as some had feared.

* China’s annual GDP growth slowed to 7.5 percent in the period from April to June. Asian and European stocks rose on relief growth was not lower after a surprise fall in exports in June.

* Analysts also said the slowdown would encourage the government to push harder on reforms.

* An advance during Monday’s session on Wall Street would push major indexes to new peaks. Both the Dow Jones industrial average and the S&P 500 ended Friday’s session at record closing highs, though the point and percentage gains for the day were slim.

* Airlines over the weekend expressed confidence in the safety of Boeing’s 787 Dreamliner following a fire on one of the jets last week. Boeing’s shares were up 1.1 percent at $103.00 in light premarket volume.

* Among U.S. economic data for the day, investors will take in reports on retail sales for June and regional manufacturing in New York state for July at 8:30 am ET (1230 GMET). Business inventories for May will be released later in the morning.

* S&P 500 futures rose 2.4 points but 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 gained 30 points, and Nasdaq 100 futures added 10.25 points.

* Over the past three weeks, the benchmark S&P 500 has erased the losses of nearly 6 percent from the selloff triggered by Federal Reserve Chairman Ben Bernanke in late May, when he first raised the prospect of trimming the central bank’s $85 billion in monthly bond purchases. Since then, the market has been getting reassurance from Bernanke and other Fed officials that the U.S. central bank will keep monetary policy loose for some time.

* Investors’ attention will be on Bernanke’s testimony in front of lawmakers later in the week. Fed Board Governor Tarullo will speak on regulatory reform on Monday.

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