Most US stocks were marked higher in London on Friday, tracking solid gains in the bond market.

London dealers said US financial markets were bolstered by remarks from Federal Reserve Chairman Alan Greenspan, who said on Thursday that he expected US economic growth to decelerate later this year. Greenspan was giving a speech at New York University.

"I think his comments were interpreted as an indication tha the won't raise rates at the May FOMC (Federal Open Market Committee) meeting," said one dealer.

"The mark-up is purely defensive. We haven't seen any strong buying, but on the other hand, we haven't seen any strong selling either," he added.

With June S&P 500 Futures up 7.95 points to 830.50 at 1013 GMT on Globex, dealers were expecting the Dow to open at least 45 points higher. June long bond futures were up 12/32 to 110-6/32 on Globex.

Drawing the most investor interest in London was McDonald's Corp stock, quoted $3/8 lower at $53-7/8, after the Wall Street Journal reported that the fast-food giant's sales fell by some six per cent since its discount hamburger promotion.

"McDonald's is the only stock that's arousing any real interest this morning," another dealer said.

Most technology stocks were up, but shares in Texas Instruments Inc were marked down $1/4 to 94-3/8 on reports that the company was pulling out of two semiconductor ventures in Thailand.

Among others, International Business Machines Corp stock was up $3/8 in London to $167-3/4, having gained $5-1/4 in New York on Thursday.

Intel Corp was quoted $5/8 higher in London at $159-3/8, after climbing $2-7/8 in New York on Thursday.

Motor shares also were marked higher, with General Motors Corp quoted up $3/8 to $57-3/8. Ford Motor Co and Chrysler Corp were each up $1/4 to $36-1/8 and $30-3/4, respectively.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.