Sept. 13 (Bloomberg) -- U.S. stock-index futures erased losses as German Chancellor Angela Merkel said she’s confident Europe will find a solution for Finland’s objections to Greece’s bailout and American retail sales increased.
Futures on the Standard & Poor’s 500 Index expiring in December were down less than 0.1 percent at 1,156.9 at 8:53 a.m. in New York after tumbling as much as 1.6 percent. U.S. retail sales rose 1.3 percent last week, according to an ICSC-Goldman Sachs Group Inc. report.
The S&P 500 has fallen for all but one of the past seven weeks as economic data from the U.S. and Europe trailed forecasts and S&P downgraded America’s AAA sovereign-debt rating, citing political failure to reduce record deficits. The losses dragged the gauge’s valuation to about 11.2 times estimated profits last month, the cheapest since March 2009, according to data compiled by Bloomberg.
Futures extended declines earlier after a Wall Street Journal article said that BNP Paribas SA doesn’t have access to U.S. money-market funds anymore, citing an unidentified executive. Contracts recouped some losses as France’s largest bank said it’s able to finance its dollar needs at normal levels “directly and through foreign-exchange swaps.”
Merkel said she won’t let Greece go into an “uncontrolled insolvency” because of the risk of contagion for other countries, according to an interview with Inforadio. An Italian government official said yesterday the nation held talks with China about potential investments in the euro area’s third- largest economy.
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