7 June 2005, 18:05  U.S. stocks were headed for solid opening gains

U.S. stocks were headed for solid opening gains Tuesday after comments from Federal Reserve chief Alan Greenspan that were seen as market friendly. Speaking at an American Bankers Association conference in Beijing, Greenspan said the decline of long-term interest rates over the past year despite the Fed's steady tightening cycle remains a conundrum. "I think he's saying economy is not going to weaken and he's not going to halt raising interest rates -- that's an indication to me that the Fed feels very strongly about a solid economic performance," said Peter Cardillo, chief market analyst and strategist at S.W. Bach. That, Cardillo said, "is giving a bit of a green light here." S&P futures were up 3.20 to 1,201.30 while Nasdaq futures rose 5 to 1,550.50 and Dow futures jumped 28 to 10,498. The dollar slipped, pushed down in the cross-currents as the euro sank to an 11-month low against the yen. The dollar was down 0.1% 106.77 yen and the euro was up 0.2% at $1.2278.

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