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By Bloomberg

U.S. stock-index futures rose, as investors gauged whether signs of a strong economy will help lift equities after a slide in energy shares sent the Standard & Poor’s 500 Index to its biggest drop since October.

S&P 500 futures expiring in March added 0.3 percent to 2,021.6 at 6:53 a.m. in New York. The underlying equity gauge yesterday completed its first four-day loss since 2013 and slid below its average price for the last 50 days. Dow Jones Industrial Average contracts gained 36 points, or 0.2 percent, to 17,486 today.

The S&P 500 has dropped 3.4 percent since an all-time high reached Dec. 29. The benchmark index posted its first December decline since 2007, trimming its annual increase to 11 percent. Strategists are calling for an 8.1 percent gain this year.

“It’s a balancing act between bulls and bears,” Allan von Mehren, chief analyst at Danske Bank A/S in Copenhagen, said. “Many investors are playing the recovery scenario and will buy on setbacks, but others get nervous after a strong rally. The U.S. economy will have a strong first quarter and this should help stocks rise, but we will have higher volatility.”

Oil prices extended their drop below $50 a barrel today, for a fourth day of losses, amid forecasts that U.S. crude inventories will expand. Oil lost almost half its value in 2014 as competing producers resisted calls to cut output, exacerbating a global supply glut. Energy companies in the S&P 500 lost 10 percent in 2014, the most among 10 industry groups.

“The baseline for global growth is improving and lower oil is a positive for this, but at the same time risks are increasing,” said von Mehren. “We don’t know where the breaking point is, where the oil price gets so low it triggers a financial crisis somewhere that could then spread.”

Economic Reports

Data today may show service providers from retailers to builders expanded activity last month, while factory orders declined at a slower pace in November, economists predicted. Reports on U.S. hiring are also due this week. The Federal Reserve tomorrow releases the minutes from its last policy meeting at which it pledged patience in raising interest rates even as the economy expands.

Investors later this month will evaluate corporate earnings reports to help gauge equity valuations. Alcoa Inc. unofficially starts the earnings season when it reports fourth-quarter results on Jan. 12. Profit at S&P 500 companies probably climbed 2.4 percent in the period, analysts predicted.

Among stocks moving on corporate news, AOL Inc. jumped 7.3 percent in premarket New York trading after people with knowledge of the matter said Verizon Communications Inc. has approached the company about a potential acquisition or joint venture.

Salix Pharmaceuticals Ltd. gained 1.6 percent in late New York trading after saying Carolyn Logan will retire as chief executive officer this month.