US STOCKS-Trade deal hopes, earnings lift Wall Street futures

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* Futures up: Dow 0.29%, S&P 0.27%, Nasdaq 0.38%

By Arjun Panchadar
Nov 15 (Reuters) - U.S. stock index futures rose on Friday,
as positive comments related to the U.S.-China trade talks and
strong earnings from semiconductor industry bellwether Applied
Materials put the S&P 500 and Dow on track to hit fresh highs.
White House economic adviser Larry Kudlow said late on
Thursday that the world's two largest economies were getting
close to a trade agreement, citing what he called very
constructive talks with Beijing about ending a 16-month trade
war. Kudlow's comments eased nerves after reports that talks had
hit a snag over how and when to reduce tariffs, and what level
of agricultural purchases could be expected from China as well
as statements by President Donald Trump saying he could impose
new tariffs on China if no deal was reached.
Shares in chip gear maker Applied Materials Inc AMAT.O
jumped 5.7% in premarket trading after it forecast quarterly
results above estimates, as it expects more clients to upgrade
their equipment ahead of the 5G rollout in key markets.
Other chip stocks Advanced Micro Devices Inc AMD.O , Micron
Technology Inc MU.O and Lam Research Corp LRCX.O gained
between 0.8% and 2.5%.
Chipmakers have been among the victims of a long-running
trade war between Washington and Beijing, as they rely on China
for a huge portion of their revenue. However, signs of progress
on the trade front have helped drive the Philadelphia chip index
.SOX to record levels.
The benchmark S&P hit an all-time closing high on Thursday,
as robust earnings from retail giant Walmart Inc WMT.N pointed
to a strong U.S. consumer at a time when spending is seen as a
key support for the economy.
Shares in embattled retailer J.C. Penney Co Inc JCP.N
soared 12% on Friday after reporting a smaller quarterly loss,
versus a year earlier, as it benefited from lower marketing
expenses and an increase in store and online selling margins.
Wall Street's main indexes have been powered by hopes of a
"phase one" trade deal, a largely upbeat third-quarter earnings
season and a third interest rate cut by the Federal Reserve.
At 07:20 a.m. ET, Dow e-minis 1YMcv1 were up 81 points, or
0.29%. S&P 500 e-minis EScv1 were up 8.25 points, or 0.27% and
Nasdaq 100 e-minis NQcv1 were up 31.5 points, or 0.38%.
Investors will keep a close eye on retail sales data from
October, due at 8:30 a.m. ET. The numbers are expected to show a
rebound from a surprise contraction in the previous month.
Another set of data is likely to show industrial production
declined in October.
Nvidia Corp NVDA.O edged up 0.3% as the company predicted
strong demand for chips used in data centers, but said it
expects its gaming chip business to be impacted by seasonal
weakness in the fourth quarter. RH RH.N jumped 7.9% as Warren Buffett's Berkshire Hathaway
Inc BRKa.N disclosed a new investment in the luxury furniture
and home furnishings chain.