Advertisement
UK markets close in 56 minutes
  • FTSE 100

    8,135.50
    +56.64 (+0.70%)
     
  • FTSE 250

    19,829.92
    +227.94 (+1.16%)
     
  • AIM

    755.70
    +2.58 (+0.34%)
     
  • GBP/EUR

    1.1676
    +0.0020 (+0.17%)
     
  • GBP/USD

    1.2485
    -0.0026 (-0.21%)
     
  • Bitcoin GBP

    51,659.05
    +698.42 (+1.37%)
     
  • CMC Crypto 200

    1,345.06
    -51.48 (-3.69%)
     
  • S&P 500

    5,101.11
    +52.69 (+1.04%)
     
  • DOW

    38,275.76
    +189.96 (+0.50%)
     
  • CRUDE OIL

    83.76
    +0.19 (+0.23%)
     
  • GOLD FUTURES

    2,353.40
    +10.90 (+0.47%)
     
  • NIKKEI 225

    37,934.76
    +306.28 (+0.81%)
     
  • HANG SENG

    17,651.15
    +366.61 (+2.12%)
     
  • DAX

    18,174.06
    +256.78 (+1.43%)
     
  • CAC 40

    8,099.36
    +82.71 (+1.03%)
     

US STOCKS-Futures point to higher open; S&P 500 near record

* S&P 500 just points off milestone 2,000 level

* Roche to buy InterMune (NasdaqGS: ITMN - news) for $8.3 billion

* New home sales data due after market opens

* Futures up: Dow 58 pts, S&P 7.75 pts, Nasdaq 17.5 pts (Updates prices)

By Ryan Vlastelica

NEW YORK, Aug 25 (Reuters) - U.S. stock index futures pointed to a higher open on Monday, indicating the S&P 500 would open near record levels, amid corporate merger activity and as hopes grew for more monetary stimulus in European markets.

* U.S. investors took cues from Europe, where an index of major shares rose 0.7 percent after European Central Bank President Mario Draghi said Friday the ECB was prepared to respond with available tools if inflation dropped further. Investors took this to mean the ECB could start an asset purchase program or adopt other stimulus measures in the coming months, which could boost assets like stocks.

ADVERTISEMENT

* Draghi spoke at a global central banking conference in Jackson Hole, Wyoming. U.S. Federal Reserve Chair Janet Yellen spoke, too, but didn't provide hints on the timing of any interest rate hikes, contributing to a modest equity market decline on Friday.

* InterMune Inc jumped 36 percent to $73.27 in premarket trading after Roche Holding AG (Other OTC: RHHBF - news) agreed to buy the biotechnology company for $8.3 billion in cash. The deal is the latest vote of confidence in the biotech sector, which many - including Yellen - worry is overvalued.

* S&P 500 e-mini futures rose 7.75 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, indicating a higher open. Dow Jones industrial average e-mini futures added 58 points and Nasdaq 100 e-mini futures rose 17.5 points.

* U.S. stocks have been strong of late. Major indexes closed a third week of gains Friday, with the Dow and S&P enjoying their best weeks since April. The S&P hit an intraday and closing high last week, and market participants are looking for the benchmark index to pierce the 2,000 level for the first time.

* Burger King is in talks to acquire Canadian coffee and doughnut chain Tim Hortons Inc (NYSE: THI - news) , in a deal that would be structured as a so-called tax inversion transaction to move Burger King's domicile to Canada, which has lower overall corporate taxes. Shares (Frankfurt: DI6.F - news) of Burger King jumped 14 percent to $30.90 in premarket trading while U.S. shares of Tim Hortons advanced 15.5 percent to $72.59.

* Investors continued to eye tensions between Ukraine and Russia, with Ukraine's military saying its government force had engaged with a separatist armoured column near the southeastern town of Novoazovsk, not far from the Russian border.

* Traders are looking ahead to a read on July new home sales, as well as August data on the services sector from financial data firm Markit (NasdaqGS: MRKT - news) . The Markit data will be released at 9:45 a.m. EDT (1345 GMT), and the housing data at 10:00 a.m.

(Editing by Bernadette Baum)