Stock futures pared losses on Thursday after data showed initial claims for jobless benefits fell to a four-month low last week and were slightly better than expected.

S&P 500 futures were off 12 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures lost 100 points and Nasdaq 100 futures sank 16 points.

(Reporting by Ryan Vlastelica)