* Stock futures rise on G20 hopes
* Jobless claims higher than expected
* FASB says new mark-to-market effective in 2nd quarter
* Futures rise: S&P up 15.80 points, Dow 122, Nasdaq 22
* For up-to-the-minute market news click []
By Chuck Mikolajczak
NEW YORK, April 2 (Reuters) - U.S. stock futures pointed to
a higher open on Thursday on optimism the G20 meeting underway
in London will agree on ways to temper the economic crisis.
Financial shares rose in pre-market trading as they are
closely linked to the strength of the global economy.
Futures pared gains slightly after data showed the number
of U.S. workers filing new claims for jobless benefits rose to
the highest in over 26 years last week. For more see
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In other market-moving news, the Financial Accounting
Standards Board said new mark-to-market accounting guidance
will be effective for the second quarter, with early
application permitted for the first quarter, and not be
retroactive. []
"The employment data is still poor -- we saw that in Europe
as well -- but I think the markets aren't responding to hard
data right now," said Subodh Kumar, chief investment strategist
at Subodh Kumar & Associates in Toronto.
"At the G20 meeting, I think investors have expectations
for news about regulations, and I also think they'd like to see
more aggressive stimulus policy."
S&P 500 futures <SPc1> rose 15.80 points and were above
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> gained
122 points, and Nasdaq 100 <NDc1> futures added 22 points.
Earlier, Bank of America chief executive Kenneth Lewis told
CNBC television the bank has a "huge" capital cushion even if
the economy keeps deteriorating, which also helped sentiment.
Bank of America <BAC.N> shares jumped more than 10 percent
to $7.78 while Citigroup <C.N> rose over 9 percent to $2.93.
Shares of General Motors <GM.N> surged more than 16 percent
to $2.24 in premarket trade, a day after executives cited March
sales data that pointed to the "first signs of brightening" in
the auto industry. []
In earnings news, shares of Monsanto Co <MON.N> climbed 2.2
percent to $83.50 after the world's biggest seed company
reported second-quarter profit that beat Wall Street
expectations. []
Walgreen Co <WAG.N> said comparable store sales for March
rose 1.5 percent, while comparable pharmacy sales increased 5.7
percent. Shares rose 1.9 percent to $27.
U.S. oil futures <CLc1> rose 7 percent to $51.87 a barrel,
supported by hopes that the summit in London of leaders of the
Group of 20 major developed and emerging economies would
deliver a package of measures to bolster world growth.
Still ahead on the economic front for Thursday are factory
orders for February.
On Wednesday, U.S. factory and home sales data raised hopes
the downturn is moderating, sparking a broad stocks rally.
(Editing by James Dalgleish)
