* Q4 GDP increased at 1 pct annual rate
* J.C. Penney jumps after results
* Futures up: Dow 114 pts, S&P 13 pts, Nasdaq 35 pts (Adds details, comment, updates prices)
By Abhiram Nandakumar
Feb 26 (Reuters) - U.S. stock index futures extended gains on Friday after data showed economic growth in the United States slowed less sharply than expected in the fourth quarter.
GDP increased at a 1 percent annual rate instead of the previously reported 0.7 percent pace. The economy grew at a rate of 2.0 percent in the third quarter.
Investors are also keeping an eye on oil prices, which have been a major driver of stocks this year. Crude was up more than 1 percent as traders closed short positions and demand for U.S. gasoline rose.
Global stocks rose as China reassured global financial leaders at the G20 summit that it would not devalue its currency again but look at other means to support its economy.
"Today's market is going to be all about oil and economic data," said Peter Cardillo, chief market economist at First Standard Financial in New York, adding that China's reassurance on the yuan was also a positive.
"There's a good possibility that we could close the week on a high note," he added, referring to the S&P 500 closing above 1,951, above its 50-day moving average, on Thursday.
The S&P is on track for its best two-week performance since last February, staging a recovery from one of the worst starts to a year.
At 8:33 a.m. ET (1333 GMT), Dow e-minis were up 114 points, or 0.68 percent, with 38,392 contracts changing hands. S&P 500 e-minis were up 13 points, or 0.67 percent, with 333,380 contracts traded. Nasdaq 100 e-minis were up 35 points, or 0.82 percent, on volume of 40,527 contracts.
Also scheduled for release is a report on U.S. consumer spending, which is likely to have risen 0.3 percent in January. The data is slated for release at 10 a.m.
The data will give investors a bearing on the state of the economy as they watch for the U.S. Federal Reserve's next move on interest rates.
The central bank raised rates in December and Fed Chair Janet Yellen has pointed to a gradual increase through 2016 if data shows the economy is strong enough to withstand a move away from near-zero rates.
Wall Street closed higher on Thursday, after a late recovery in oil boosted shares. The S&P 500 has fallen 4.5 percent so far this year, recovering from a more-than 10 percent fall earlier this month.
Shares of J.C. Penney were up 11.6 percent at $9.33 premarket after the department store operator reported better-than-expected revenue.
Monster Beverage was down 7.4 percent at $123.30 after the energy drink maker reported lower-than-expected revenue and profit. (Reporting by Abhiram Nandakumar in Bengaluru; Editing by Saumyadeb Chakrabarty)