NEW YORK, Feb 19 - Stocks are seen rising at Thursday's open as solid earnings from chip gear maker Applied Materials Inc. and retail heavyweight Wal-Mart Stores Inc. buoyed investors' hopes that share prices have room to climb. "The news continues to induce money chasing stocks," said Peter Cardillo, chief market analyst and chief strategist at SW Bach and Co. "We had some good news in the technology sector with Applied Materials adding strength to the Nasdaq. Wal-Mart is also positive news." Applied Materials, the world's largest producer of microchip-making equipment, reported a better-than-expected quarterly profit on Wednesday after the close and issued a profit target that outpaced analysts' forecasts. Shares rose more than 6 percent to $23.71 before the bell after ending at $22.31. Wal-Mart, a Dow component, said before the open quarterly profit rose 11 percent, meeting analysts' expectations, as bitterly cold January weather drove demand for winter clothing. Stock of the world's biggest company by revenue was not trading before the bell after a $57.20 close.
Equity futures pointed to a firm start. Futures for the Standard & Poor's 500 gained 4.60 points to 1,155.80, futures for the Nasdaq 100 rose 9.5 points to 1,520.5 and futures for the Dow Jones industrials advanced 34 points to 10,709. Wall Street will get a stream of data throughout the day. The Labor Department releases first-time claims for jobless benefits for the week ended Feb. 14 at 8:30 a.m. (1330 GMT). Economists in a survey forecast a median total of 353,000 new filings compared with 363,000 in the prior week. The Conference Board releases its report on January leading economic indicators at 10 a.m. (1500 GMT). Economists in a survey forecast a median 0.5 percent increase compared with a 0.2 percent rise in the prior month. The Philadelphia Federal Reserve Bank releases its February business activity index at 12 p.m. (1700 GMT). A survey of analysts polled by showed a median decline to 35.0 versus 38.8 in January. Some analysts predict that January's gains will give way to a quiet market in the next few weeks. Since the stock market rally began last March, both the Dow and the S&P 500 have risen more than 40 percent, while the Nasdaq has gained 63 percent. The bulk of the quarterly earnings season is over in the United States, but some results are still trickling in. Intuit Inc. , a maker of small business and personal finance software, on Wednesday after the close said quarterly profit rose, with TurboTax software sales jumping 36 percent as the U.S. income tax filing deadline neared. Shares closed at $49.19. Wireless carrier Nextel Communications Inc. reported a lower quarterly profit before the open, reflecting proceeds from the year-ago sale of its international unit NII Holdings, while revenue rose 29 percent. Shares closed at $28.62. Communications chip maker Broadcom Corp. boosted its forecast for first-quarter revenue on Wednesday after the close, saying it now expected growth of "as much as" 16 to 18 percent over the December quarter on broad strength in demand for its products. Shares closed at $42.46.
The euro recouped some losses overseas after a sharp slide in the previous session as markets tested whether the single currency can sustain recent gains. European stocks surged to new peaks helped by strong corporate results. Asian shares were mixed after profit taking on Wall Street on Wednesday. On Wednesday, the Dow Jones industrial average <.DJI> fell 42.89 points, or 0.40 percent, to 10,671.99. The broader Standard & Poor's 500 Index <.SPX> eased 5.17 points, or 0.45 percent, at 1,151.82. The technology-focused Nasdaq Composite Index <.IXIC> dipped 3.88 points, or 0.19 percent, to finish at 2,076.47.///