* JP Morgan climbs in premarket, despite loss in quarter
* Washington political talks continue to end crisis
* UMich data on tap
* Futures up: Dow 11 pts, S&P 0.1 pts, Nasdaq 1.5 pts
By Chuck Mikolajczak
NEW YORK, Oct 11 U.S. stock index futures were
little changed on Friday, on the heels of the biggest rally
since the first trading day of the year, as talks continued in
Washington to end a fiscal stalemate that has shut down the
government for days.
After meeting at the White House on Thursday, President
Barack Obama and Republican leaders appeared ready to end a
crisis that has shut much of the U.S. government since Oct. 1.
The crisis began late in September as Republicans tied continued
government funding to measures that would undercut the
Affordable Care Act, Obama's signature legislative
Although no deal emerged from the 90-minute meeting, talks
continued into the night in an effort to re-open the government
and extend the government's borrowing authority beyond an Oct.
17 deadline. Failure to lift the cap could spark
a financial crisis and tip the U.S. economy, the world's
largest, into recession, with damaging repercussions that would
be felt worldwide.
"Nobody knows what is going to come out of this meeting. I'm
encouraged that at least they got together - that's a step in
the right direction," said Kim Forrest, senior equity research
analyst at Fort Pitt Capital Group in Pittsburgh.
"All rhetoric about default is driving markets. No one knows
what happens if the U.S. defaults even for a little while, that
is the big cloud hanging over all of us."
Major U.S. stock indexes staged their strongest rally in
more than nine months on Thursday, leaving the S&P 500
less than 2 percent away from its record closing high set three
JPMorgan Chase & Co rose 2.6 percent to $53.89 in
premarket trading, even as the biggest U.S. bank by assets
reported a rare quarterly loss after incurring $9.2 billion in
legal expenses. Excluding litigation expense and reserve
release, it earned a profit of $5.82 billion, or $1.42 a share.
Wells Fargo & Co rose 0.8 percent to $41.67 in
premarket after the biggest U.S. mortgage lender reported a 13
percent rise in third-quarter profit after reducing the amount
it had previously set aside for bad loans.
S&P 500 futures rose 0.1 point and were slightly
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
11 points and Nasdaq 100 futures added 1.5 points.
Later in the session at 9:55 a.m. EDT (1355 GMT), the
Thomson Reuters/University of Michigan Surveys of Consumers
October preliminary consumer sentiment index is due to be
released. Economists in a Reuters survey expect a reading of
76.0 compared with 77.5 in the final September report.
Micron Technology Inc fell 2.3 percent to $18 before
the opening bell, after the chipmaker reporting a
smaller-than-expected fourth-quarter profit on Thursday.
European and Asian stocks edged higher as investors
perceived progress in Washington to avert a possible debt