U.S. futures trim gains after flurry of data; Dow up 0.3%

Investing.com – U.S. stock futures pointed to a modestly higher open on Thursday, as markets reacted to a flurry of U.S. data, while easing concerns over the sovereign debt crisis in the euro zone supported risk sentiment.

Ahead of the open, the Dow Jones Industrial Average futures pointed to a gain of 0.3%, the S&P 500 futures indicated an increase of 0.35%, while the Nasdaq 100 futures pointed to a 0.5% gain.

Stock futures pared gains after official data showed that first time jobless claims rose by 11,000 to 428,000 last week, confounding expectations for a decline to 410,000.

A separate report showed that the U.S. core consumer price inflation rose 0.2% in August, in line with market expectations, while consumer prices including food and energy costs rose 0.4% last month, above expectations for a 0.2% gain.

Also Thursday, the Federal Reserve Bank of New York said that its general business conditions index fell by 1.1 points to minus 8.8 in September, worse than expectations for a reading of minus 4.0.  

Meanwhile, shares in home furniture retailer Pier 1 Imports jumped 3.9% in pre-market trade after reporting a 16% increase in second quarter earnings, boosted by higher sales and merchandise margins. 

Technology sector stocks also contributed to gains, with semiconductor manufacturer Texas Instruments climbing 2% and Nvidia shares up 1.8%.

On the downside, shares in online video streaming website Netflix plunged 15.5% after it lowered its third quarter U.S. subscriber growth forecast to 21.8 million from a previous estimate of 22 million. The company also said it expects 14.2 million DVD subscribers, down from an earlier forecast of 15 million.

U.S.-listed shares of Swiss lender UBS tumbled 10.1% after saying that it discovered a USD2 billion loss "due to unauthorized trading by a trader in its investment bank."

Other stocks in focus include Blackberry maker Research In Motion, which was slated to release its second quarter earnings results later in the day.

Across the Atlantic, European stock markets were sharply higher as fears over an imminent Greek default eased, while a successful Spanish debt auction further lifted sentiment.

The EURO STOXX 50 surged 2.65%, France’s CAC 40 jumped 2.5%, Germany's DAX rallied 2.6%, while Britain's FTSE 100 rose 1.9%. 

During the Asian trading session, Japan’s Nikkei 225 Index climbed 1.8%, as risk sentiment was boosted after German Chancellor Angela Merkel and French President Nicolas Sarkozy reaffirmed their support for Greece.

Later in the day, the U.S. was to publish official data on manufacturing activity in Philadelphia, as well as a report on industrial production.