U.S. Stocks May Move To The Upside In Early Trading

After ending last Friday’s trading mostly higher, stocks may see further upside in early trading on Monday. The major index futures are currently pointing to a higher open for the markets, with the Dow futures up by 147 points.

Upbeat Chinese economic data may contribute to initial strength on Wall Street, as the markets continue to recover from the pullback seen in the middle of last week.

Buying interest may be somewhat subdued, however, with concerns about inflation continuing to weigh on investors’ minds.

In U.S. economic news, the New York Federal Reserve released a report showing New York manufacturing activity grew strongly in the month of November.

The New York Fed said its general business conditions index jumped to 30.9 in November from 19.8 in October, with a positive reading indicating growth. Economists had expected the index to rise to 21.6.

Meanwhile, the report said firms were less optimistic about the six-month outlook than they were last month, with the index for future business conditions tumbling to 36.9 in November from 52.0 in October.

Following the mixed performance seen on Thursday, the major U.S. stock indexes all moved to the upside during trading on Friday. The Nasdaq and the S&P 500 extended the rebound seen on Thursday, while the Dow moved higher for the first time in four sessions.

The major averages pulled back off their highs going into the close but remained firmly positive. The Dow rose 179.08 points or 0.5 percent to 36,100.31, the Nasdaq jumped 156.68 points or 1 percent to 15,860.96 and the S&P 500 climbed 33.58 points or 0.7 percent to 4,682.85.

Despite the advance on the day, the major averages all moved lower for the week. The S&P 500 dipped by 0.3 percent, while the Dow and the Nasdaq slid by 0.6 percent and 0.7 percent, respectively.

In overseas trading, stock markets across the Asia-Pacific region moved mostly higher on Monday, although China’s Shanghai Composite Index bucked the uptrend and edged down by 0.2 percent. Japan’s Nikkei 225 Index climbed by 0.6 percent, while Hong Kong’s Hang Seng Index rose by 0.3 percent.

Meanwhile, the major European markets are turning in a mixed performance on the day. While the U.K.’s FTSE 100 Index is down by 0.1 percent, the German DAX Index is up by 0.3 percent and the French CAC 40 Index is up by 0.6 percent.

In commodities trading, crude oil futures are falling $0.58 to $80.21 a barrel after sliding $0.80 to $80.79 a barrel last Friday. Meanwhile, after rising $4.60 to $1,868.50 an ounce in the previous session, gold futures are edging down $0.10 to $1,868.40 an ounce.

On the currency front, the U.S. dollar is trading at 113.86 yen versus the 113.89 yen it fetched at the close of New York trading on Friday. Against the euro, the dollar is trading at $1.1439 compared to last Friday’s $1.1445.