Most Asian index futures rose, signaling stocks in the region may extend their rebound amid stability in the Chinese market and the lack of detail from the Federal Reserve on the exact timing for interest-rate increases. Crude oil climbed a third day.
Futures on stock gauges from Japan to Hong Kong advanced in most recent trading, while Standard & Poor's 500 Index futures dropped 0.1 percent by 8:46 a.m. in Tokyo following a 0.7 percent increase in the U.S. measure. The dollar held gains versus the yen and the euro as Australian bonds retreated. Oil in New York advanced another 0.2 percent after surging the most in three weeks Wednesday on falling U.S. crude stockpiles.
While the Fed said the labor market and housing had improved, it didn't provide a clear signal on the timing for rates rises in a statement issued after their monthly meeting. Economists have put the chance of a September increase at 50 percent. Australia's central bank chief speaks Thursday, ahead of euro-area confidence data. An update on U.S. gross domestic product may help firm speculation over the policy outlook.
"Nothing has really changed with the Fed's stance," Evan Lucas, a markets strategist in Melbourne at IG Ltd., said by phone. "Earnings have been reasonable and there have been some bright spots. We expect to see a fairly good gain today" in equity markets, he said.
Futures on Australia's S&P/ASX 200 Index climbed 0.6 percent in recent trading, amid a rebound in commodity prices. Contracts on the Kospi index in Seoul added 0.3 percent. Nikkei 225 Stock Average futures were bid for 20,430 in the Osaka pre-market, from 20,300 at their close Wednesday, while yen-denominated contracts were little changed at 20,460 in Chicago, after rising 0.5 percent in the previous session.
China Futures
After a 0.9 percent rally in the Hang Seng China Enterprises Index on Wednesday, futures on the gauge of Chinese stocks listed in Hong Kong were up 0.6 percent. Hang Seng Index futures gained 0.6 percent as well, while contracts on the FTSE China A50 Index — which tracks the biggest mainland Chinese shares — were little changed. Futures on the Shanghai Shenzhen CSI 300 Index climbed 2 percent in recent trade.
The Bloomberg Dollar Spot Index got a bump up from the Fed statement, rising 0.3 percent Wednesday after two days of declines. The gauge, which follows the greenback against 10 major peers, was little changed early Thursday. The yen was steady at 123.90 per dollar after slipping 0.3 percent last session, while the euro was at $ 1.0989 after falling 0.7 percent.
Tug-of-War
"The Street clearly has a tug-of-war going on between the camp that sees enough evidence and wants to get a hike under the belt, and another camp that would prefer the Fed to be cautious and wait until later in the year," said Myles Clouston, senior director of Nasdaq Advisory Services in New York.
Fed Chair Janet Yellen is guiding the central bank toward its first rate increase in almost a decade as the U.S. approaches full employment. She has said the Fed is likely to tighten policy this year should the economy continue to improve in line with her expectations.
Bond market expectations for inflation have fallen to the lowest level since January as prices for commodities including oil have plunged amid turmoil in China's stock market. At the same time, the economy continues to expand, with first-time jobless claims falling to a 42-year low this month and the unemployment rate at its lowest since April 2008.
Blankfein Positive
Goldman Sachs Group Inc. Chief Executive Officer Lloyd C. Blankfein said U.S. markets are poised for prolonged growth and will quickly move on after the jolt that should result from the Fed's first interest-rate increase since 2006.
"We are in for a longish, positive market," Blankfein said on Wednesday in an interview on Bloomberg TV. "Since the financial crisis, especially in this country, there were a lot of problems, but we chewed through them. Consumers have deleveraged, the banking system has deleveraged, we got the blessing of low energy prices, housing prices started to stabilize and move higher."
While the Nasdaq Composite Index added 0.4 percent in ordinary trading, Facebook Inc. fell about 3 percent in extended U.S. trading as the social network reported an 82 percent jump in spending.
Stocks in the U.S. and Europe were supported by dealmaking, which is on track for the busiest third quarter on record, with volume set to surpass $ 1 trillion. Italcementi SpA surged 49 percent after HeidelbergCement AG said it plans to buy the company for 3.7 billion euros ($ 4.1 billion). The German company lost 6.3 percent. Cytec Industries Inc. jumped 27 percent in the U.S. as Solvay SA agreed to acquire it for $ 5.5 billion.
Oil Gains
West Texas Intermediate crude rose to $ 48.91 a barrel after climbing 1.7 percent in the previous session. U.S. inventories fell by 4.2 million barrels last week, Energy Information Administration data showed. An 850,000-barrel gain was forecast by analysts surveyed by Bloomberg before the report. Imports and production declined, the EIA said.
Copper futures due in September added 0.1 percent to $ 2.4105 a pound. The Bloomberg Commodity Index rose for a second day on Wednesday, extending its recovery from a 13-year low as sugar to copper and some industrial metals advanced.
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