Stock index futures jump after Draghi comments

NEW YORK (Reuters) - Stock index futures jumped on Thursday after remarks by Europe's central bank chief about protecting the euro zone from collapse helped reassure a market already expecting the Federal Reserve to step up stimulus efforts.

European Central Bank President Mario Draghi pledged on Thursday to do whatever was necessary to protect the euro zone from collapse, including fighting unreasonably high government borrowing costs. The comments caused an immediate spike in global stock and commodity markets.

Policy makers have made similar statements about saving the euro before, but if these latest remarks are realized in decisive intervention in European bond markets, investors hope it could spur a sizable "risk-on" rally in stocks.

"Finally the markets have forced the ECB and the euro group leaders to begin to make statements that the market really wants to hear," said Peter Cardillo, chief market economist at Rockwell Global Capital in New York.

"This time he's being more decisive and using more challenging words; yes, he's said before that the euro is irreversible, but today he says it's irreversible and we will make it irreversible," said Cardillo.

Hopes that the Federal Reserve will boost efforts to stimulate a flagging economy, maybe with a decision to do so as early as at its rate-setting meeting next week, soothed concerns about the economy and offset the impact of what investors describe as a "mixed" corporate earnings season.

S&P 500 futures rose 13.7 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration of the contract. Dow Jones industrial average futures added 118 points, and Nasdaq 100 futures gained 30.50 points.

With around two fifths of S&P 500 companies reporting earnings as of Wednesday, 65 percent have beat Wall Street's profit estimates. However, three in five companies missed revenue estimates, with many pointing to a weakening global economy.

Dow Chemical Co , the largest U.S. chemical maker by sales, reported a lower-than-expected quarterly profit on Thursday as demand for chlorine, plastics and electronic parts plunged around the world. The shares fell 3.2 percent in premarket trading.

There were also cautious words on Europe. The chances of Greece leaving the euro in the next 12-18 months have risen to about 90 percent, U.S. bank Citi said in a report on Thursday.

On the economic front, June durable goods orders and weekly jobless claims are due at 8:30 a.m. EDT (1230 GMT), and pending home sales for June at 10:00 EDT (1400 GMT).

Visa Inc's adjusted profit beat analysts' estimates, and the company raised its full-year earnings forecast for a second time this year, as more people move to card-based payments globally.

Las Vegas Sands Corp , owned by billionaire Sheldon Adelson, reported quarterly earnings that were significantly worse than expected, hurt by lower profits at casinos in key Asian markets which had previously helped offset flagging U.S. revenue. The stock dropped 5.1 percent to $35.60.

(Editing by Bernadette Baum)

Source: http://news.yahoo.com/stock-index-futures-dip-raft-earnings-due-092215108--finance.html

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