US STOCKS-Futures jump as yuan move fuels world markets

* China vows to allow a flexible yuan exchange rate

* Global markets, commodities rally

* Futures up: S&P 17.1 pts, Dow 141 pts, Nasdaq 29.5 pts

* For up-to-the-minute market news see [STXNEWS/US]

NEW YORK, June 21 (BestGrowthStock) – U.S. stock index futures rose
sharply on Monday as global stocks gained after China’s vow to
allow a flexible yuan exchange rate boosted investor appetite
for risky assets.

* China’s yuan surged the most since its revaluation in
2005 following the surprise weekend announcement by China’s
central bank that it would allow greater flexibility for the
currency. For details, see [ID:nN20208975]

* The move is expected to boost purchasing power and demand
in China, the world’s third largest economy. A higher yuan
would also help temper inflation by pushing down import prices,
which could mean Beijing would have less need to tighten
monetary policy aggressively.

* World stocks hit a five-week high, while the euro and
commodities jumped and oil futures rose more than 1 percent to
$78.23 a barrel. [ID:nLDE65K0G6]

* S&P 500 futures (SPc1: ) were up 17.1 points and above fair
value, a formula that evaluates pricing by taking into account
interest rates, dividends and time to expiration on the
contract. Dow Jones industrial average futures (DJc1: ) jumped
141 points, and Nasdaq 100 futures (NDc1: ) advanced 29.5
points.

* Stocks ground higher in another lightly traded session on
Friday, ending a nervous week with gains despite signs of
economic weakness at home and worries about public debt
troubles in Europe.

* An internal BP Plc (BP.L: )(BP.N: ) document released by a
U.S. lawmaker estimated that a worst-case scenario rate for the
Gulf of Mexico oil spill could be about 100,000 barrels per
day, far higher than the current U.S. figure. BP’s U.S.-listed
shares slipped 3.5 percent to $30.66 in premarket trading.
[ID:nN20211308]

* Dell Inc (DELL.O: ) is in talks with Google Inc (Read more about Google Stock Analysis) (GOOG.O: )
over the use of the Chrome operating system on its laptops, a
top Dell executive said.

Investment

(Reporting by Leah Schnurr; editing by Jeffrey Benkoe)

US STOCKS-Futures jump as yuan move fuels world markets