Stock index futures turned positive on Tuesday as shares of banks advanced ahead of expected news on the repayment of government bailout funds.

* S&P 500 futures rose 1.20 points and were above 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 rose 1 point, while Nasdaq 100 futures added O.75 points.

(Reporting by Edward Krudy; editing by Jeffrey Benkoe)