Stocks set for rise on durable goods
Stock futures jump after report of surprise strength in June durable goods; home sales report looms as a major factor in the week's final trading day.
NEW YORK (CNNMoney.com) -- Stocks were set to open higher Friday, despite concerns over the housing market, as orders for durable goods unexpectedly rose in June.
At 8:48 a.m. ET, Nasdaq and S&P futures were significantly higher following the positive government report on the factory industry. (check futures)
Durable goods: The Census Bureau reported a 0.8% surge in durable goods order for June. Analyst consensus had expected a decline of 0.3%, so the report was more than a percentage point better than expected. This is good news for the U.S. economy, because it shows strength in the manufacturing sector even during a time of economic weakness.
Housing: The government was scheduled to report new home sales for June after the opening bell. Economists surveyed by Briefing.com expect the annual sales rate to slide to 505,000 from 512,000 in May.
A weaker-than-expected report on June existing home sales was a catalyst in Thursday's stock selloff, with the Dow Jones industrial average finishing down more than 283 points.
Corporate news: Japanese automaker Honda (HMC) reported a surprise increase in earnings as U.S. demand for fuel efficient vehicles offset the high cost of raw materials and the strength of the yen versus the dollar.
Video rental company Netflix (NFLX) said profit rose 4%, boosted by an increase in subscriptions and the introduction of a set-top box that can deliver streaming video directly to a customer's television.
After software giant Microsoft (MSFT, Fortune 500) abandoned its bid for online search company Yahoo (YHOO, Fortune 500), CEO Steve Ballmer defended the company's online investments, saying the company is willing to endure operational losses in order to gain a foothold in online search and advertising. (full story)
Shareholders of radio station operator Clear Channel Communications (CCU, Fortune 500) agreed to a $17.9 billion takeover from two private equity firms.
Other markets: Oil prices rose slightly Friday as a rebound from the decline of the last week and a half continued. In electronic trading, light, sweet crude for September delivery gained 19 cents a barrel to $125.68.
Asian stocks took a drubbing following U.S. losses, with Tokyo's Nikkei index down nearly 2% Friday. European markets were lower in early Friday trading. 
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