US Stock Futures Gain After EU Deal to Stem Debt Crisis

Microsoft Corporation - 1978 (Photo credit: Brajeshwar)

U.S. stock futures rallied, indicating the Standard & Poor’s 500 Index will trim its second- quarter decline, as European leaders agreed on measures to ease the burden on the region’s weakest economies.

Bank of America Corp. (BAC), the second-largest U.S. lender by assets, climbed 2.3 percent in early trading. Microsoft Corp. (MSFT), the world’s biggest software company, advanced 1.6 percent. Research In Motion Ltd. (RIMM) sank 17 percent after posting a loss that was five times bigger than projected and delaying the release of its latest phone.

S&P 500 futures expiring in September climbed 1.3 percent to 1,339.6 at 6:44 a.m. in New York, erasing an earlier decline of as much as 0.5 percent. Dow Jones Industrial Average futures gained 133 points, or 1.1 percent, to 1,2659.

“The statements from leaders at the European summit in Brussels on Thursday should further help the current relief phase for markets,” said Graham Neilson, who helps manage about $21.9 billion as chief investment strategist at Cairn Capital Ltd. in London. “The burden of future risk is being shared more widely, meaning the chances of a euro-zone break-up have been lowered for the short term.” ... Continue to read.

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