Following the substantial rebound seen in the previous session, stocks may show a lack of direction in early trading on Wednesday. The major index futures are currently pointing to slightly lower open for the markets, with the S&P 500 futures down by just 0.1 percent.
A lack of major U.S. economic data may keep some traders on the sidelines ahead of the release of several key reports in the coming days.
On Thursday, the Labor Department is scheduled to release its report on producer price inflation in the month of February, which may shed additional light on the outlook for interest rates.
Producer prices are expected to rise by 0.3 percent in February, matching the increase seen in January, while the annual rate of producer price growth is expected to accelerate to 1.1 percent from 0 .9 percent.
Reports on weekly jobless claims and retail sales are also due to be released on Thursday, with retail sales expected to rebound in February after slumping in January.
On Friday, trading may be impacted by reaction to reports on import and export prices, industrial production and consumer sentiment.
The University of Michigan’s preliminary report on consumer sentiment in March may be in focus, as it includes reading on inflation expectations.
After moving mostly lower in Friday and Monday’s sessions, stocks showed a strong move back to the upside during trading on Tuesday. The major averages fluctuated over the course of the session but finished the day firmly in positive territory.
The tech-heavy Nasdaq helped lead the way higher on the day, surging 246.36 points or 1.5 percent to 16,265.63. The S&P 500 also jumped 57.33 points or 1.1 percent to a new record closing high of 5,175.27, while the narrower Dow climbed 235.83 points or 0.6 percent to 39,005.49.
In overseas trading, stock markets across the Asia-Pacific region ended mixed once again on Wednesday. China’s Shanghai Composite Index fell by 0.4 percent and Japan’s Nikkei 225 Index dipped by 0.3 percent, while South Korea’s Kospi rose by 0.4 percent.
The major European markets are also turning in a mixed performance on the day. While the French CAC 40 Index is up by 0.5 percent, the U.K.’s FTSE 100 Index and the German DAX Index are marginally lower.
In commodities trading, crude oil futures are jumping $1.34 to $78.90 a barrel after falling $0.37 to $77.56 a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $2,169.60, up $3.50 compared to the previous session’s close of $2,166.10. On Tuesday, gold slumped $22.50.
On the currency front, the U.S. dollar is trading at 147.97 yen compared to the 147.68 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.0936 compared to yesterday’s $1.0927.
Business News
U.S. Stocks May Lack Direction Following Yesterday’s Rebound
2024-03-13 12:50:03
