* Euro bounces off 10-week lows against U.S. dollar
* U.S. manufacturing, ADP payrolls data on tap
* Chinese factory report points to global growth
* Futures up: Dow 125 pts, S&P 14.5 pts, Nasdaq 23.5 pts
* For up-to-the-minute market news see [STXNEWS/US] (Updates prices, adds quote, byline)
By Rodrigo Campos
NEW YORK, Dec 1 (Reuters) - December started on a high note for U.S. stock index futures on Wednesday as upbeat Chinese factory data lifted investor confidence about a global economic recovery, and the euro bounced back from 10-week lows.
A slew of U.S. economic reports are due later Wednesday, with ISM manufacturing at 10 a.m. EST (1500 GMT) expected to show the sector expanded for a 15th month running, further supporting U.S. equities. For details see [ID:nN29221336]
China posted better-than-expected factory production data in November, with its purchasing managers' index rising to a seven-month high. [ID:nTOE6B004C]
Giving support to risk-taking, the euro rose as a three-day selling spree lost steam, and pressure on the euro zone's higher-yielding sovereign debt eased as some traders bet the European Central Bank (ECB) would step up its bond buying program. In recent weeks, the euro and U.S. stocks have traded in sync with each other.
"It is a heavy day of economic data. However it may at best play (an) even part with the situation in Europe," said John Brady, senior vice president at MF Global in Chicago.
"There's been a bit of a recovery trade out of Europe that remains fluid because of this speculation over what the ECB may or may not do."
S&P 500 futures
Other U.S. data likely to highlight the health of the U.S. economy include the ADP private payrolls report at 8:15 a.m. EST (1315 GMT). It's expected to show the sector created 69,000 jobs in November.
U.S. Federal Reserve Chairman Ben Bernanke warned Tuesday that a long period of high unemployment could lead to a steep social cost, as he and other Fed officials defended against criticism of its current monetary policy. [ID:nN30134200]
U.S. banks are expected to bounce from recent declines,
with the Select Sector SPDR Financial ETF
Standard & Poor's warned it could cut Portugal's credit ratings within the next three months if growth prospects weaken further or private creditors become subordinated to public creditors in a possible financial aid program. [ID:nN30292510]
U.S. stocks fell Tuesday in choppy trading after S&P's comments on Portugal. (Reporting by Rodrigo Campos; editing by Jeffrey Benkoe)