US STOCKS-Futures rise as oil recovers; Yellen testimony awaited
* Futures up: Dow 130 pts, S&P 19.5 pts, Nasdaq 55.75 pts
By Aastha Agnihotri
Feb 10 (Reuters) - U.S. stock index futures were higher on Wednesday, with oil prices staging a modest recovery, ahead of U.S. Federal Reserve Chair Janet Yellen's appearance before Congress.
* Yellen, whose testimony on monetary policy starts at 10:00 a.m. ET (1500 GMT), is expected to defend the central bank's rate hike in December and likely insist further hikes this year remain on track, albeit at a slower pace.
* Fears of a global and U.S. economic slowdown, along with oil's precipitous slide, have already dampened the market's expectations for a hike in coming months.
* Investors will tune into Yellen's remarks for clues on the Fed's outlook on the economy as interest rates turn negative around the world amid the turmoil in markets.
* Diverging central bank policies have played havoc with financial stocks, especially in the past few days. A rebound in European banks on Wednesday, helped prop up global stocks.
* Oil prices, which have often dictated the market's moves this year, were up about 2 percent on rekindled hopes a production cut by major producers.
* Wall Street closed lower for the third session in a row on Tuesday, after a sharp fall in crude battered the energy sector. Continuación...