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US Stocks Poised to Extend Gains as Fed Commits to Maintain Asset Purchases
By: MT Newswires
US stock futures were higher Thursday, extending yesterday's surge in the wake of the U.S. Federal Reserve's decision to keep buying about $85 billion in assets every month. The Fed had been expected to start weaning markets off the asset purchases - known as quantitative easing - cutting back on purchases by about $10 billion monthly.
Stock markets made sharp gains here and abroad on Fed Chairman Ben Bernanke's announcement, even as the Fed cut its projection for 2013 economic growth to between 2.0% and 2.3%, down from the June estimate between 2.3% and 2.6%.
Meanwhile, weekly initial jobless claims rose 15,000 to 309,000, less than the consensus estimate of 341,000.
In equities, Oracle ( ORCL ) slipped 0.47% pre-market as its Q2 revenue grew less than the market had expected. Agilent Technologies ( A ) meanwhile added nearly 11% after saying it plans to split in two to better capitalize on the company's assets.