Following the sell-off seen over the course of the previous session, stocks may move back to the upside in early trading on Friday. The major index futures are currently pointing to a sharply higher open for the markets, with the S&P 500 futures up by 1.0 percent.
Traders may look to pick up stocks at reduced levels following the steep drop seen on Thursday, which dragged the Nasdaq and the S&P 500 down to their lowest closing levels in six months.
The nosedive also pulled the S&P 500 into correction territory, as the index plunged by more than 10 percent from February’s record highs.
Positive sentiment may also be generated in reaction to news the U.S. is likely to avoid a government shutdown after Senate Minority Leader Chuck Schumer, D-NY, said he would vote to advance a Republican spending bill funding the government through September.
While Democrats oppose the bill, Schumer argued allowing President Donald Trump to “take even much more power via a government shutdown is a far worse option.”
However, some traders may remain reluctant to get back into the markets amid ongoing concerns about the economic impact of Trump’s trade policies.
Not long after the start of trading, the University of Michigan is scheduled to release its preliminary report on consumer sentiment in the month of March.
The consumer sentiment index is expected to dip to 63.1 in March after tumbling to 64.7 in February. The report also includes readings on inflation expectations.
Stocks moved sharply lower over the course of the trading day on Thursday, more than offsetting the gains posted during Wednesday’s session. The major averages tumbled to six-month closing lows, with the S&P 500 entering correction territory more than 10 percent below February’s record highs.
The major averages ended the day off their worst levels but still firmly negative. The Nasdaq plunged 345.44 points or 2.0 percent to 17,303.01, the S&P 500 slumped 77.78 points or 1.4 percent to 5,521.52 and the Dow dove 537.36 points or 1.3 percent to 40,813.57.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Friday. Japan’s Nikkei 225 Index advanced by 0.7 percent, China’s Shanghai Composite Index jumped by 1.8 percent and Hong Kong’s Hang Seng Index surged by 2.1 percent.
The major European markets have also moved to the upside on the day. The German DAX Index is up by 1.9 percent, the French CAC 40 Index is up by 1.2 percent and the U.K.’s FTSE 100 Index is up by 0.7 percent.
In commodities trading, crude oil futures are climbing $0.56 to $67.11 a barrel after slumping $1.13 to $66.55 a barrel on Thursday. Meanwhile, after surging $44.50 to $2,991.30 an ounce in the previous session, gold futures are rising $15.70 to $3,007 an ounce.
On the currency front, the U.S. dollar is trading at 148.78 yen versus the 147.81 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.0905 compared to yesterday’s $1.0852.
Business News
U.S. Stocks May Regain Ground Following Yesterday’s Sell-Off
2025-03-14 12:50:15
