* Futures up: Dow 0.48%, S&P 0.48%, Nasdaq 0.2%

* SpaceX falls after reporting first earnings since going

public

* Eli Lilly ( LLY ) jumps after raising FY revenue forecast

* ADP data shows US economy added 44,000 jobs in July

(Updates to before markets open)

By Johann M Cherian and Shashwat Chauhan

Aug 5 (Reuters) - Wall Street's main indexes were set to

open higher on Wednesday, as hopes of a Middle East peace

breakthrough offset the slide in shares of SpaceX and AMD after

the upbeat forecasts issued by the companies failed to impress

investors.

Elon Musk-led SpaceX's revenue nearly doubled and

operating losses narrowed in its first earnings report since

going public, fueled by its booming Starlink satellite

communications and AI businesses.

But the rocket company's shares slid 10.3% in premarket

trading after executives flagged the spending spree underpinning

its lofty ambitions was far from over. Shares could face

additional pressure from the expiry of the stock's post-IPO

lock-up period starting on Thursday. Musk's other company, Tesla

, slipped 0.8%.

"This is the culmination of the story of this entire

earnings season. SpaceX beat analysts' expectations on revenue,

but spending on AI is getting out of hand, with no signs of

slowing down anytime soon," said Nic Puckrin, cross-asset

analyst and founder of Coin Bureau.

Advanced Micro Devices ( AMD ) forecast quarterly revenue

above estimates, reflecting strong AI demand. However, shares

slipped 8.6%, suggesting investors were looking for a stronger

outlook to justify the stock's 142% jump this year.

Rival Nvidia's ( NVDA ) shares, which have lagged AMD this

year, rose 1.5%, also underpinned by SpaceX's plans to use the

company's hardware exclusively to build its data centers.

Other chip stocks such as Intel ( INTC ) lost 2.8% and

Micron shed 2%, while megacaps Microsoft ( MSFT ) and Alphabet

added about 1% each. The stocks looked set to add to

Wall Street's rally spanning the past few sessions that took the

benchmark S&P 500 and the blue-chip Dow to record

highs.

Investors also weighed a slew of earnings from other

sectors. Drugmaker Eli Lilly was up 5.5% after raising

its full-year revenue forecast, while Disney ( DIS ) rose 3.5%

after beating third-quarter profit expectations.

Arista Networks ( ANET ) jumped 10.7%, as the networking

equipment maker forecast third-quarter revenue above estimates.

Uber ( UBER ) lost 3.6% after forecasting current-quarter

adjusted earnings below estimates.

At 8:23 a.m. ET, Dow E-minis rose 259 points, or

0.48%, S&P 500 E-minis gained 37.25 points, or 0.48%,

and Nasdaq 100 E-minis added 61 points, or 0.2%.

On the data front, an ADP survey showed that the economy

added 44,000 jobs in July, missing economists' expectations of

70,000. The bigger focus will be on the official non-farm

payrolls figures on Friday.

A survey on services sector activity during the previous

month is also due at 10 a.m. ET.

Data has broadly reflected robust economic performance, but

with Middle East tensions keeping energy costs elevated and the

Federal Reserve offering no forecasts on monetary policy,

uncertainty persists.

Minneapolis Fed President Neel Kashkariin an interview with

CNBC said he believed now is the time to start slowly moving

interest rates higher.

Remarks from Governor Lisa Cook and San Francisco Fed

President Mary Daly will be scrutinized for their perspectives

on interest rates.

Traders are pricing in a 58.4% chance of a rate hike in

September, the CME Group's FedWatch Tool showed.