US STOCKS-Wall St to open higher on earnings, Fed hopes

* Dollar falls on Fed easing expectations

* Intel, JPMorgan Chase rise after qtrly results

* Futures up: Dow 74 pts, S&P 8.4 pts, Nasdaq 14.25 pts

* For up-to-the-minute market news see [STXNEWS/US]
(Adds details, new quote, updates prices)

By Chuck Mikolajczak

NEW YORK, Oct 13 (BestGrowthStock) – Wall Street was set for a
strong open on Wednesday after a bullish forecast from Intel
and solid earnings from JPMorgan along with expectations the
Federal Reserve will move to prop up the economic recovery.

U.S. stocks (Read more about the stock market today. ) hit fresh 5-month highs on Tuesday and the
dollar came under pressure after minutes from the Fed’s latest
meeting showed the U.S. central bank may once again flood
markets with cheap cash “before long” to boost growth. For
details, see [ID:nN12188145]

Even with the benchmark S&P 500 posting an 11.5 percent
rise since Sept. 1, stocks were poised to continue their climb
as earnings poured in and investors jump in to chase the
rally.

“There has still been a healthy degree of skepticism going
into the earnings season, but we are getting to the point where
underperforming money managers, whether they are on the hedge
or mutual fund side, can’t afford to sit on the sidelines
anymore,” said Angel Mata, managing director of listed equity
trading at Stifel Nicolaus Capital Markets in Baltimore.

“So you are probably going to see a lot of irrational
buying going forward because it’s just to get invested.”

JP Morgan Chase & Co (JPM.N: ) rose 1.5 percent to $41.01 in
premarket trade after the second largest U.S. bank by assets
said quarterly profits jumped 22 percent, helped by lower loan
losses in its retail and credit card units. [ID:nN11126621]

Intel Corp (INTC.O: ) gained 1.3 percent to $20.03 premarket
after the world’s largest chipmaker forecast upbeat
fourth-quarter sales and margins as resilient demand from
emerging markets and corporations offset weak consumer
spending. That raised hopes the technology sector could end
2010 on a strong note. [ID:nN11136922]

The dollar came under broad selling pressure and approached
key lows against the euro, the Swiss franc and a basket of
currencies on more signs of U.S. monetary easing. The dollar
index (.DXY: ) shed 0.4 percent. [ID:nLDE69C122]

S&P 500 futures (SPc1: ) were up 8.4 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 74
points, and Nasdaq 100 futures (NDc1: ) advanced 14.25 points.

Dutch chip equipment maker ASML Holding NV
(ASML.AS: )(ASML.O: ) beat estimates with a big rise in quarterly
profits on a surge in demand and said it should end the year
with a record order book. Its U.S.-traded shares climbed 6
percent to $32.40. [ID:nLDE69B179]

Minutes of the Fed’s meeting in September revealed
officials thought the struggling recovery might soon need more
help and discussed options, including possible adoption of a
price-level target.

The prospect of the additional Fed stimulus has created an
inverse correlation between the dollar and equities, with a
decline in the greenback triggering a move into equities.

Chevron Corp (CVX.N: ) shed 0.6 percent to $83.35 premarket
after the U.S. oil major forecast third-quarter earnings below
the previous period, weighed down by a drop in U.S. production,
higher costs and the effects from a weaker dollar.
[ID:nN12196879]

(Editing by Jeffrey Benkoe)

US STOCKS-Wall St to open higher on earnings, Fed hopes