* Dow Chemical profit beats estimates
* Chrysler rushes to secure deals ahead of deadline
* Jobless claims among data on tap
* Futures up: S&P 14 pts, Dow 116, Nasdaq 24.50
* For up-to-the-minute market news click []
(Adds details, byline)
By Leah Schnurr
NEW YORK, April 30 (Reuters) - U.S. stock index futures
pointed to a more than 1 percent gain on Thursday as the first
quarter's better-than-expected corporate profits stoked
optimism the economic slump is showing signs of easing.
Among the bright spots, Dow Chemical Co <DOW.N> handily
beat estimates and said there are some signs the pace of global
economic decline is moderating, sending its shares jumping 11.8
percent to $15.10 before the opening bell.
Optimism extended from the previous session after the
Federal Reserve said Wednesday the economic outlook had
improved modestly since its last meeting in March. The comments
helped stocks close higher.
"The earnings are clearly coming in much, much better than
analysts expected, so that's clearly helping the market," said
Paul Mendelsohn, chief investment strategist at Windham
Financial Services in Charlotte, Vermont.
On the data front, investors await reports on initial
jobless claims, March personal income and consumption and a
reading from the Chicago Institute of Supply Management on
manufacturing activity.
Shares in Bank of America Corp <BAC.N> rose 5.6 percent to
$9.17 the day after the bank's chief executive was stripped of
his role as chairman in what analysts say could be a precursor
to his eventual replacement as CEO as well. (For details, see
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In the auto sector, Chrysler LLC rushed to secure deals in
a last-minute attempt to avoid bankruptcy ahead of a
government-imposed midnight restructuring deadline.
[].
Chrysler, the third-largest U.S. automaker still has not
gained the bondholder support it needs to avoid the first-ever
bankruptcy filing for a Detroit Three automaker.
Worries over the economic implications of spreading swine
flu could hamper the market after Mexican President Felipe
Calderon urged people to stay home from Friday for a five-day
partial shutdown of the economy, after the World Health
Organization said a swine flu pandemic was imminent.
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S&P 500 futures <SPc1> rose 14 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> climbed
116 points, and Nasdaq 100 <NDc1> futures added 24.50 points.
Dow component Procter & Gamble Co <PG.N> rose 2 percent to
$51.43 in premarket trade after the consumer products company
said it expects earnings to be in line with Wall Street
expectations this year, even though sales could be weaker.
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In the same sector, Colgate-Palmolive Co <CL.N> posted
higher first-quarter profit on cost-cutting and higher pricing.
Shares of the maker of the namesake toothpaste rose 2.2 percent
to $61.00. [].
Cellphone maker Motorola Inc <MOT.N> said its quarterly
loss widened as sales missed expectations, but it forecast a
narrower loss for the next quarter and plans to cut costs
further. Motorola's shares gained 4 percent to $6.20.
[].
On Wednesday, the S&P 500 broke through significant
resistance at around the 875 level, a key technical point the
index had tried but failed to break in recent days.
"There was a resistance point around the 875-877 level that
we took out intraday yesterday, which really set us up
technically for a rally. Once we break through that point and
close above it, the next resistance is up around the 920
level," said Windham Financial's Mendelsohn.
(Reporting by Leah Schnurr; editing by Jeffrey Benkoe)
