(Source: Associated Press/AP Online)
By CHIP CUTTER
NEW YORK - Stock futures are higher Wednesday after a report on U.S. manufacturing was better than expected. Investors also continue to anxiously eye developments in Europe.
The government reported that factory orders for long-lasting manufactured goods fell 0.1 percent in August after rising in July. Economists expected those orders would fall 0.5 percent, according to FactSet. Manufacturing has been one of the strongest parts of the economy since the recession officially ended two years ago.
In Europe, Finland's parliament approved legislation that will give the 17 countries that use the euro more powers to fight the region's debt crisis. Under the new law, Europe's bailout fund will be able to buy government bonds and lend money to troubled governments before they are in a full-blown crisis.
Germany's government will vote on the package on Thursday.
The market has been streaky lately. The Dow Jones industrial average gained almost 4 percent the past two days, after dropping 6.4 percent last week. The week before that, the Dow rose all five days and posted a 4.7 percent gain.
About an hour before the opening bell, Dow futures are up 30 points, or 0.3 percent, at 11,147. Standard & Poor's 500 futures are up 3, or 0.3 percent, at 1,173. Nasdaq 100 futures are up 4, or 0.2 percent, at 2,259.
The gains this week are being fed by hopes that Europe is moving closer to resolving its debt crisis. The Dow has added 419 points over the last two days, making up more than half of its 737-point plunge last week. Yet analysts warn that even a small amount of bad news from Europe could send stocks plunging again.
In corporate news, Amazon.com Inc. rose about 1 percent in premarket trading as analysts speculated that the company would unveil a version of a tablet computer at an event in New York.
Polo Ralph Lauren Corp. fell about 2 percent ahead of the opening after a Citi analyst downgraded the company's stock, saying it has gotten too expensive.
A service of YellowBrix, Inc.