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* ISM's PMI manufacturing data expected at 10:00 a.m. ET
* Philip Morris rises on BofA Merrill Lynch upgrade
* McCormick gains on FY profit forecast raise
* McDonald's drops on JPM comments
* Futures up: Dow 0.29%, S&P 0.32%, Nasdaq 0.38%
(Adds comment, details; updates prices)
By Medha Singh and Arjun Panchadar
Oct 1 (Reuters) - Wall Street's main indexes were headed for
a strong open on Tuesday ahead of the release of manufacturing
data as investors looked for fresh signs of domestic demand in
the world's largest economy amid softening global growth.
The ISM's purchasing managers index (PMI) data, due at 10:00
a.m. ET (1400 GMT), is likely to show the manufacturing sector
rebounded to 50.1 in September after contracting for the first
time in 3-1/2 years to 49.1 in August.
It will come on the heels of euro zone data, which showed
manufacturing activity in the bloc contracted at its steepest
rate in almost seven years. "If we look at some of the data out of either Asia Pacific
or European zone, the U.S. economic data has certainly been the
standout across the board," said Art Hogan, chief market
strategist at National Securities in New York.
The benchmark 10-year note yield US10YT=RR ticked higher,
helping shares of interest-rate sensitive lenders.
Bank of America Corp BAC.N , Citigroup Inc C.N , JPMorgan
Chase & Co JPM.N , Goldman Sachs GS.N , Wells Fargo & Co
WFC.N and Morgan Stanley MS.N climbed between 0.6% and 1.1%
before the bell.
Despite a prolonged U.S.-China trade war that poses the
biggest risk to global growth, confidence in the domestic
economy is one of the factors that has helped the benchmark S&P
500 .SPX climb 18.7% so far this year.
A crucial jobs report on Friday is expected to shed further
light on U.S. economic growth. The Federal Reserve is also
looking at these data to determine whether it should cut
interest rates again this year.
At 8:44 a.m. ET, Dow e-minis 1YMcv1 were up 79 points, or
0.29%. S&P 500 e-minis EScv1 were up 9.5 points, or 0.32% and
Nasdaq 100 e-minis NQcv1 were up 29.75 points, or 0.38%.
McCormick & Co Inc MKC.N rose 2% as the seasoning maker
raised its full-year earnings forecast.
Philip Morris International Inc PM.N gained 1.4% after
reports that Bank of America Merrill Lynch upgraded the
cigarette maker's stock to "buy" from "neutral."
McDonald's Corp MCD.N dropped 1.4% as JP Morgan said the
fast food chain's third-quarter same-store sales would be softer
than it initially thought.
Semiconductor stocks Analog Devices ADI.O and Microchip
Technology MCHP.O rose more than 2% after KeyBanc upgraded the
chipmakers to "overweight". Shares of peer Xilinx XLNX.O
slipped 2% after the brokerage lowered its rating to "sector
weight".
As the final quarter of 2019 kicks off, investors will be
focusing on a range of factors, beginning with the high-stakes
Sino-U.S. trade talks in early October, corporate earnings and
the Fed's next policy meeting.
"Both sides (U.S. and China) have shown some flexibility and
so there's an incredible possibility that we have a bit of a
truce or warming in the cold war on trade and I think that's
distinctly a market positive," National Securities' Hogan said.