U.S. stock futures rise as employment growth tops forecasts

U.S. stock-index futures rose, as the Standard & Poor’s 500 Index headed toward its second straight weekly gain, after government data showed the nation added more jobs than forecast last month.

JPMorgan Chase & Co., Bank of America Corp. and Citigroup Inc. rose at least 1.4%. Tesla Motors Inc. added 2.5% after saying it has received hundreds of orders for its electric cars in Hong Kong.

Futures on the S&P 500 expiring in September gained 1.1% to 1,627 at 8:39 a.m. in New York. The benchmark index has risen 0.6% so far this week. Contracts on the Dow Jones Industrial Average rose 161 points, or 1.1%, to 15,077 today. U.S. markets were closed yesterday for the Independence Day holiday.

Payrolls rose by 195,000 workers for a second straight month, the Labor Department reported today in Washington. The median forecast in a Bloomberg survey projected a 165,000 gain after a previously reported 175,000 increase in May. The jobless rate stayed at 7.6%, while hourly earnings in the year ended in June advanced by the most since July 2011.

Economic growth amid monetary stimulus from the Federal Reserve has helped send the S&P 500 up 139% from its bear-market low in 2009, including a 13% rally so far this year. The benchmark index has slipped 3.2% from its last record on May 21 after Fed Chairman Ben S. Bernanke said the central bank could begin to reduce bond purchases should the employment market show sustainable growth.

ECB Rates

Stocks rose earlier as European Central Bank President Mario Draghi predicted yesterday that interest rates will remain low for an extended period of time. Draghi said that key interest rates will remain at their current levels or lower for as long as necessary. The Bank of England signaled that it will leave interest rates at a record low for longer than investors had expected.

JPMorgan, the largest U.S. bank by assets, advanced 1.4% to $53.50. Bank of America, the second-biggest, rose 1.5% to $13.02. Citigroup gained 2% to $48.64.

Tesla added 2.5% to $118.10 after saying it received sufficient orders for its new Model S sedan to double the number of electric cars on Hong Kong’s streets. The company headed by billionaire Chief Executive Officer Elon Musk has forecast it will sell 21,000 units of the Model S globally this year. It begins deliveries to Europe and Asia in the second half.

Apple Inc., the maker of the iPhone and iPad, increased 0.7% to $423.76.

Barrick Gold Corp., the world’s largest miner of the precious metal, slid 3.1% to $14.24 as gold fell.

Lululemon Athletica Inc. slipped 2.2% to $63.11. Chairman and founder Dennis Wilson is selling 3.4 million shares of the yoga-wear maker, according to a prospectus filing.


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