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U.S. Stock Futures Little Changed After Jobs, Spending Reports

May 1 (Bloomberg) -- U.S. stock futures were little changed, after the Dow Jones Industrial Average climbed to a record yesterday, as data showed jobless claims unexpectedly rose while consumer spending added the most in five years.

T-Mobile US Inc. rallied 8.4 percent after adding 1.3 million new monthly subscribers last quarter. Sprint Corp. surged 7.9 percent after meeting with banks to make debt arrangements for a bid for T-Mobile. Yelp Inc. gained 8.9 percent after raising its forecast for 2014 revenue. Exxon Mobil Corp. climbed 0.5 percent after profit fell less than estimated.

Futures on the Standard & Poor’s 500 Index expiring in June added less than 0.1 percent to 1,877.10 at 8:34 a.m. in New York. Dow contracts fell seven points to 16,504. The 30-stock equity gauge rose 0.3 percent yesterday, topping the previous record it reached on Dec. 31.

“The waters are never completely clear of tips of icebergs to hit markets or economies, but things are optimistic for the U.S.,” Nick Beecroft, the London-based chairman and senior market analyst at Saxo Capital Markets U.K. Ltd., said by telephone. “Although the Ukrainian situation is very disturbing, for a software developer in Palo Alto or a pharma company in the Midwest, it must seem a million miles away. I don’t think it will derail the U.S. economy.”

The S&P 500 posted a 0.6 percent gain in April for a third monnthly advance, as better-than-estimated economic data and corporate results offset escalating tensions between the U.S. and Russia over the latter’s intentions on Ukraine.

S&P Rebound

The index closed within seven points of its all-time high from April 2. Its 8.2 percent recovery from a low of 1,741.89 on Feb. 3 has been led by a 14 percent rally in energy stocks and increases of 11 percent each in industries least tied to economic growth: utilities and home-product makers.

The Federal Reserve yesterday said it would continue to trim the pace of bond purchases as the economy gains momentum. The central bank cut its monthly asset purchases to $45 billion and said further reductions in “measured steps” are likely.

Fed Chair Janet Yellen is winding down record stimulus as the world’s largest economy shows signs of rebounding from a first-quarter standstill.

Data today showed applications for U.S. unemployment benefits unexpectedly climbed to a nine-week high last week, while consumer spending surged in March by the most in almost five years as warmer weather brought shoppers back to auto- dealer lots and malls.

Jobs Report

A Labor Department report tomorrow may show employers added 215,000 workers in April, the most since November, according to economists’ projections. A private payrolls report yesterday showed companies added more workers last month than at any time in the previous five.

A separate report from the Institute for Supply Management at 10 a.m. may show a gauge of manufacturing in the U.S. increased to 54.3 in April, from 53.7 in March, economists projected in a survey. Fifty is the dividing line between expansion and contraction.

Forty-seven companies in the S&P 500 including Mylan Inc. and MasterCard Inc. release their financial results today. Some 75 percent of the 319 companies that have reported earnings have beaten estimates for profit, while 53 percent topped revenue projections, according to data compiled by Bloomberg.

Takeover Approach

T-Mobile jumped 8.4 percent to $31.75. The company added more subscribers in the first quarter than AT&T Inc. and Verizon Communications Inc. combined, heightening the carrier’s allure as Sprint pursues a merger.

Sprint rallied 7.9 percent to $9.17. The company, led by CEO Dan Hesse, had a net loss of monthly subscribers in the first quarter.

Viacom Inc. was unchanged after reporting earnings that topped estimates and sales that trailed forecasts. The company also agreed to buy the U.K.’s Channel 5 for 450 million pounds ($761 million), giving the owner of MTV and Comedy Central a broader presence in Europe and a chance to create shows for the local market.

DirecTV advanced 6.7 percent to $82.80. The Wall Street Journal reported that AT&T, the second-biggest U.S. mobile-phone carrier, made an approach to buy DirecTV. The status of the talks is unknown though DirecTV would be open to a deal, the report said, citing an unidentified person. The deal may be worth at least $40 billion, the Journal said.

Yelp gained 8.9 percent to $63.50. The service for online local-business reviews boosted its forecast for revenue this year to at least $363 million, exceeding its previous prediction of no more than $358 million.

Exxon Mobil added 0.5 percent to $102.90. The energy company reported first-quarter earnings of $2.10 per share, beating the $1.88 estimated by analysts.

ConocoPhillips added 1.1 percent to $75.15. The oil explorer reported first-quarter earnings excluding some items of $1.81 a share, exceeding the $1.55 estimated by analysts.

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