Premarket: S&P 500 Futures Higher Helped by Strong Fundamentals
S&P 500 futures are 0.84% higher at 3326 pointing to one more strong opening as investors look for another intervention from PBOC to combat the negative impact of the coronavirus outbreak. The death toll now has reached almost 500 cases, while news that there is progress towards a coronavirus vaccine lifts sentiment.
U.S. economy continues to deliver upbeat date. Today the ADP employment report smashed expectations. While the ISM Manufacturing Index yesterday came at 50.9 for January, beating last month’s reading, and also topping analysts expectations.
The Dow Jones futures are 0.81% higher at 29018. The Nasdaq futures are 1.03% higher at 9451.
European Stocks Extend Gains
European stocks are trading higher after a negative start. The FTSE 100 in London is 0.61 higher at 7,485 supported by the UK Services PMI which came in at 53.9 beating forecasts of 52.9. The DAX Index is 1.39% higher at 13,465. The Germany Services PMI came in at 54.2 in line with expectations in January. The Germany PMI Composite came in at 51.2 topping forecasts of 51.1. The disappointment came from the European Monetary Union Retail Sales data that came in at -1.6% below the forecasts of -0.9% in December. The CAC 40 is 0.97% higher at 5,992 while the FTSE MIB is 1.40% higher at 24,178.
Cryptocurrencies are gaining momentum in midday. Bitcoin is 2.96% higher at 9430. Ethereum (ETHUSD) is 4.93% higher at 197.43. Litecoin (LTCUSD) is 5.03% higher at 71.25. Ripple (XRPUSD) is 3.72% higher at 0.2751.
Crude Oil Extends Rebound
Crude oil extends the rebound that started yesterday and is 2.58% higher at $50.89, while the Brent crude oil is 2.63% higher at $55.38. Gold was hovering to negative territory during the Asian session but attracted some bids before the U.S. trading adding 0.14% at 1554. Silver is 0.34% higher at $17.62.
In forex markets AUD continues higher for the second day in a row. AUDUSD is 0.48% higher at 0.6770. The GBPUSD gave up the morning gains and now is 0.19% lower at 1.3004. EURUSD trades 0.29% lower at 1.1012.