Wall St set to open higher ahead of U.S. business surveys
- 21st May 2021
- Posted by: Hakeem
- Category: Stock
IHS Markit’s U.S. manufacturing and service sector Purchasing Managers Index data would come on the heels of surveys in the euro zone indicating the fastest pace of business growth in over three years in May.
Wall Street’s main indexes gained ground on Thursday following a three-day slump after data showed the fewest U.S. weekly jobless claims since the pandemic-driven recession in 2020, pointing to a pick up in labor market.
The stock market recovery was led by tech-related mega-cap shares, putting the Nasdaq on course to snap a four-week losing streak. The S&P 500 and the Dow were headed for second straight weekly declines.
“After some pressure in the start of the week we can see some buying interest in beaten-down mega-cap tech names as their valuations seem to look a bit more attractive,” said Robert Pavlik, senior portfolio manager at Dakota Wealth in New York.
“The market would also focus on how cryptocurrencies perform, and if they fall even more, it could spark off some selling going ahead.”
Bitcoin hovered around $40,000, pausing its attempt to recover from this week’s massive plunge. Cryptocurrency-related stocks Coinbase Global, Riot Blockchain and Marathon Digital Holdings firmed between 1.6% and 2.7%.
At 8:31 a.m. ET, Dow e-minis were up 134 points, or 0.39%, S&P 500 e-minis were up 15.5 points, or 0.37%, and Nasdaq 100 e-minis were up 49.25 points, or 0.37%.
Deere & Co gained 1.2% after the farm equipment manufacturer raised its full-year profit forecast.
Foot locker rose 2.1% after the shoes and apparel retailer posted a more than 80% jump in first-quarter sales.