U.S. Stocks May Extend Yesterday’s Advance In Early Trading

Following the notable rebound seen over the course of the previous session, stocks may see further upside in early trading on Friday. The major index futures are currently pointing to a higher open for the markets, with the S&P 500 futures up by 0.5 percent.

Technology stocks may see continued strength after helping lead the advance on Thursday, when the tech-heavy Nasdaq surged by 1.4 percent.

Optimism about the outlook for earnings may contribute to continued strength in the tech sector ahead of next week’s release of quarterly results from companies like Intel (INTC), IBM Corp. (IBM) and Netflix (NFLX).

The Dow may also receive a boost from a jump by shares of Travelers (TRV), with the insurance giant spiking by 4.9 percent in pre-market trading.

Travelers is moving sharply higher after the company reported fourth quarter earnings that exceeded analyst estimates.

Shortly after the start of trading, the National Association of Realtors is scheduled to release its report on existing home sales in the month of December.

Existing home sales are expected to come in unchanged in December after climbing by 0.8 percent to an annual rate of 3.82 million in November.

The University of Michigan is also due to release its preliminary reading on consumer sentiment in the month of January. The consumer sentiment index is expected to inch up to 70.0 in January after jumping to 69.7 in December.

Stocks moved mostly higher over the course of the trading day on Thursday, largely offsetting the weakness seen to start the week. The major averages all moved to the upside, with the tech-heavy Nasdaq leading the advance.

The major averages reached new highs late in the session, closing firmly in positive territory. The Nasdaq surged 200.03 points or 1.4 percent to 15,055.65, the S&P 500 advanced 41.73 points or 0.9 percent to 4,780.93 and the S&P 500 climbed 201.94 points or 0.5 percent to 37,468.61.

In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Friday. Japan’s Nikkei 225 Index jumped by 1.4 percent, while China’s Shanghai Composite Index fell by 0.5 percent.

Meanwhile, the major European markets have all moved modestly higher on the day. While the U.K.’s FTSE 100 Index is up by 0.4 percent, the German DAX Index is up by 0.2 percent and the French CAC 40 Index is just above the unchanged line.

In commodities trading, crude oil futures are slipping $0.12 to $73.96 a barrel after jumping $1.52 to $74.08 a barrel on Thursday. Meanwhile, after climbing $15.10 to $2,021.60 an ounce in the previous session, gold futures are advancing $17.80 to $2,039.40 an ounce.

On the currency front, the U.S. dollar is trading at 148.14 yen versus the 148.16 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.0879 compared to yesterday’s $1.0876.