(By Salman - iStockAnalyst Writer)

US Stocks futures climbed higher on Thursday after a release showed US G.D.P contracted less than previously estimated in the third quarter. Positive quarterly earnings of Exxon Mobil and Colgate Palmolive's also buoyed sentiments. Investors also cheered US Federal Reserve's measure to boost liquidity by cutting rates and opening swap lines with other central banks.

At 8:32 am ET, Standard & Poor's 500 Index futures expiring in December gained 31.40 points to 958.40. Dow Jones Industrial Average futures rose 326 points to 9180. Nasdaq Composite Index futures increased 34.75 points to 1328.75.
According to a Commerce Department release, U.S. economy shrank at a 0.3% annualized rate in the third quarter. Economists had forecast G.D.P to decline at an annualized rate of 0.5% in third quarter. In second quarter the GDP rose 2.8%.
A release by Department of Labor on Thursday showed number of Americans filing first- time claims for unemployment benefits remained unchanged at 479,000 last week. Economists had forecast jobless claims to fall to 473,000 from 478,000 in previous week. The four-week average of seasonally adjusted initial jobless claims fell 5,000 to 475,500.

On Wednesday, US Federal Reserve lowered the benchmark interest rate by 50 basis points to 1%.The Fed hinted at further possibility of rate cuts when it said, "We will not stand down until we have achieved our goals of repairing and reforming our financial system and restoring prosperity." The Fed also announced to open swap lines of $30 billion each to the central banks of Brazil, Mexico, South Korea and Singapore. The Fed set up "liquidity swap facilities with the central banks of these four large systemically important economies" effective until April 30, the central bank said yesterday in a statement. The arrangements aim "to mitigate the spread of difficulties in obtaining U.S. dollar funding."

Irving, Texas based Oil major Exxon Mobil Corp. (XOM) reported that its third-quarter net income rose 58% to a record $14.8 billion, or $2.86 a share from $9.4 billion, or $1.70 a share in the same quarter in 2007.Excluding one time items, earnings rose 42% to $13.38 billion, or $2.59 a share, from $9.4 billion, or $1.70 a share. Exxon reaffirmed its target for 2008 capital and exploration spending of $25 billion. Analysts on an average were expecting the company to earn $2.38.

Healthcare major Colgate-Palmolive Co.(NYSE: CL) announced that its net income in third quarter rose to $499.9 million, or 94 cents a share, from $420.1 million, or 77 cents, a year ago. Revenue climbed to $4 billion from $3.53 billion.
Schaumburg, Illinois based mobile phone maker Motorola Inc. (NYSE: MOT) , reported a surprise third quarter loss of $397 million, or 18 cents a  share, compared with a profit of $60 million, or 3 cents, in the same quarter, a year ago.