After closing lower for four consecutive sessions, stocks are likely to move back to the upside in early trading on Wednesday. The major index futures are currently pointing to a higher open for the markets, with the Dow futures jumping by 610 points.
A pullback by commodities prices may contribute to initial strength on Wall Street, as the recent surge in prices has led to worries about even higher inflation.
Crude oil for April delivery is currently plunging $6.16 to $117.54 a barrel, while gold for April delivery is tumbling $44.60 to $1,998.70 an ounce.
The markets may also benefit from bargain hunting, as traders look to pick up stocks at reduced levels following the recent weakness.
The tech-heavy Nasdaq ended yesterday’s trading at its lowest closing level in a year, while the Dow fell to an eleven-month closing low and the S&P 500 dropped to its lowest closing level since last June.
Not long after the start of trading, the Labor Department is scheduled to release the results of its Job Openings and Labor Turnover Survey for January. Job openings are expected to come in unchanged at 10.9 million.
Following the sell-off seen on Monday, stocks went on a rollercoaster ride during the trading session on Tuesday. The major averages showed wild swings over the course of the session before closing in negative territory.
The major averages moved to the downside going into the close after a very volatile afternoon. The Dow fell 184.73 points or 0.6 percent to 32,632.64, the Nasdaq dipped 35.41 points or 0.3 percent to 12,795.55 and the S&P 500 slid 30.39 points or 0.7 percent to 4,170.70.
In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance during trading on Wednesday. China’s Shanghai Composite Index slumped by 1.1 percent, while Australia’s S&P/ASX 200 Index jumped by 1 percent.
Meanwhile, the major European markets have moved sharply higher on the day. While the U.K.’s FTSE 100 Index has surged by 1.7 percent, the French CAC 40 Index and the German DAX Index are soaring by 4.8 percent and 5.3 percent, respectively.
In commodities trading, crude oil futures are plunging $6.16 to $117.54 a barrel after surging $4.30 to $123.70 a barrel a barrel on Tuesday. Meanwhile, an ounce of gold is trading at $1,998.70, down $44.60 compared to the previous session’s close of $2,043.30. On Tuesday, gold soared $47.40.
On the currency front, the U.S. dollar is trading at 115.79 yen compared to the 115.67 yen it fetched at the close of New York trading on Tuesday. Against the euro, the dollar is trading at $1.0997 compared to yesterday’s $1.0899.
Business News
U.S. Stocks May Regain Ground Amid Pullback By Commodities Prices
2022-03-09 13:50:57
