(For a Reuters live blog on U.S., UK and European stock

markets, click or type LIVE/ in a news window.)

*

Futures up: Dow 0.29%, S&P 500 0.4%, Nasdaq 0.71%

Jan 31 (Reuters) - U.S. stock index futures rose on

Friday, driven by gains in Apple ( AAPL ) following a strong sales growth

forecast, as investors focused on key inflation data expected

later in the day that could influence the Federal Reserve's

policy decisions.

Apple ( AAPL ) gained 3.4% in premarket trading after its

earnings on Thursday, when executives forecast relatively strong

sales growth, a sign the company would recover from a dip in

iPhone sales as it rolls out AI features.

"On the whole, investors appeared reassured by guidance that

revenue growth is expected in the low- to mid-single digits in

the coming quarter," Deutsche Bank analysts said in a note.

The December personal consumption expenditures price index

is due to be released at 8:30 a.m. ET, with headline inflation

expected to increase 0.3% month-on-month and 2.6% annually.

Excluding the volatile food and energy components, the PCE

price index is expected to rise 0.2%. Annually, it is expected

to stay put at 2.8%, according to economists polled by Reuters.

The central bank held interest rates steady in its latest

rate decision earlier this week, and Fed Chair Jerome Powell

said there would be no rush to cut them again until inflation

and jobs data made it appropriate to do so.

Intel ( INTC ) advanced 2% after the chipmaker posted

December-quarter results that beat analysts' low expectations,

while its forecast for current-quarter revenue missed estimates.

Oil majors Chevron ( CVX ) and Exxon Mobil ( XOM ) are among

the major companies scheduled to report quarterly earnings

before the bell on Friday.

At 04:51 a.m. ET, Dow E-minis were up 131 points,

or 0.29%, S&P 500 E-minis were up 24.5 points, or 0.4%

and Nasdaq 100 E-minis were up 153.5 points, or 0.71%.

The S&P 500 as well as the Nasdaq were set

for weekly losses as tech shares suffered a rout earlier this

week after Chinese startup DeepSeek unveiled a breakthrough in

cheap artificial-intelligence models, triggering a bloodbath in

AI-linked stocks.

Microsoft ( MSFT ) plunged more than 6% on Thursday

following a disappointing growth forecast in its cloud computing

business, exacerbating broader losses.

Despite this week's volatility, all three major indexes were

on track for monthly gains, with the S&P 500 less than 1% from

its all-time high, hit last week.

January has been a mixed month for equities in this century,

with the S&P 500's returns flat on average since 2000, according

to data compiled by LSEG.

Meanwhile, global markets remained vigilant after U.S.

President Donald Trump said on Thursday that the United States

would impose a 25% tariff on imports from Mexico and Canada,

repeating his warning ahead of his previously announced Saturday

deadline.

Among other early movers, Deckers Outdoor ( DECK ) dropped

14.6% after the UGG bootmaker's annual sales forecast raise fell

short of investors' lofty expectations after a strong holiday

quarter.

Walgreens Boots Alliance ( WBA ) lost 10.5% after the

pharmacy chain operator suspended its quarterly cash dividend

amid restructuring efforts.