U.S. futures have been volatile Thursday morning as traders weighed earnings news, China’s decision to unpeg the yuan to the U.S. dollar and the evacuation of several train stations in London.

China announced today that it will no longer peg its currency to the U.S. dollar but instead let it float in a tight band against a basket of foreign currencies.

Three London Underground stations were evacuated at midday Thursday following reports of smoke and explosions two weeks after a series of terror bombings targeting London’s public transport system.

Police also were investigating a report of an incident on a bus in east London.

There are no reports of casualties.

Shares on the London Stock Exchange wobbled in the wake of the evacuation.

Just before 2 p.m. London time, the FTSE 100 stock index was up 2 points at 5,127.20. The index, which had been trading around 5240 prior to the initial reports from the subway system, dropped about 60 points before regaining ground.

In today’s economic news, the U.S. government reported that jobless claims last week dropped by 34,000, the largest decline in more than two years, following a period of heavy automobile industry layoffs.

Reports are due out later on leading indicators and manufacturing activity in the Philadelphia Federal Reserve’s district. Fed Chairman Alan Greenspan will deliver his biannual economic testimony before the U.S. Senate.

There are no major economic releases from Statistics Canada today.

In today’s earnings news, Coca-Cola reported its net income rose 8.8% in the second quarter amid growth in the soft-drink giant’s international operations and strong sales of bottled water.

Nokia said its net rose 15% and its share of the global handset market grew to 33%. But intense pricing pressure weighed on the cellphone maker’s profitability.

On Wednesday, Toronto stocks rose on the strength of the industrials and materials sectors. The S&P/TSX composite index finished up 66.40, or 0.65%, to close 10,329.64.

The heavily weighted financials sector advanced 0.54%

Wealth management company CI Financial announced its profits rose 7% in the fourth quarter to $80.8 million, from $75.4 million a year earlier. The firm also said its would increase its cash dividend by 20%. Shares rose 7¢, or 0.35%, to $19.87.

CIBC confirmed it will pay a total of $125 million US to settle accusations by the U.S. Securities and Exchange Commission and the New York Attorney General’s Office that through two of its U.S.-based subsidiaries it provided financing to hedge fund clients who engaged market timing. CIBC shares advanced by 23¢, or 0.30%, to $77.79.

The junior S&P/TSX Venture composite index climbed 17.37, or 1.01%, to 1,745.39.

On Wall Street, investors were cheered by positive comments on the strength of the economy delivered by Federal Reserve chairman Alan Greenspan to the US. Congress.

The blue chip Dow Jones industrial average gained 42.59, or 0.40%, to 10,689.15; the tech heavy Nasdaq lifted 15.39, or 0.71%, to 2,188.57 and the broad based S&P 500 index advanced 5.85, or 0.48%, to 1,235.57.

EBay Inc. reported quarterly net profit rose 53%, beating analysts’ targets, and raised its forecast for revenue and net profit in the current quarter. Shares in after-hours trading on the Inet electronic brokerage network lifted 10.3% to US$38.45.