Wall Street To Open Moderately Higher

Earnings reports and reaction to a pair of Labor Department reports on weekly jobless claims and producer price inflation might be closely watched by investors on Thursday.

In the U.S., there is a high alert on the increase in the risk of COVID-19 community transmission to as high as 98 percent. The pandemic spread across the globe is not yet under control and the trader sentiments are highly influenced by the latest statistics.

Early trends on the U.S. Futures Index suggest that Wall Street might open moderately up.

Asian shares finished mixed, while European shares are trading higher.

As of 7.40 am ET, the Dow futures were up 41.00 points, the S&P 500 futures were adding 2.75 points and the Nasdaq 100 futures were progressing 10.25 points.

The U.S. major averages finished higher on Wednesday. The Dow climbed 220.30 points or 0.6 percent to 35,484.97 and the S&P 500 rose 10.95 points or 0.3 percent to 4,447.70. Meanwhile, the Nasdaq rebounded from its worst levels of the day but still closed down 22.95 points or 0.2 percent at 14,765.14.

On the economic front, the Labor Department’s Jobless Claims for the week will be released at 8.30 am ET. The consensus is 378K, while it was up 385K in the prior week.

The Producer Price Index or PPI Final Demand for July will be published at 8.30 am ET. The consensus is an increase of 0.6 percent, while it was up 1.0 percent in June.
The Energy Information Administration or EIA’s Natural Gas report for the week will be issued at 10.30 am ET. In the prior week, the Gas stock was 13 bcf.

Twenty-year Bond Announcement and 30-year Treasury Inflation-Protected Securities or TIPS announcement will be released at 11.00 am ET.

Thirty-year Treasury Bond Auction will be held at 1.00 pm ET.

The Fed’s Balance Sheet for the week will be published at 4.30 pm ET. In the prior week, the level was at $8.235 trillion.

Asian stocks ended broadly lower on Thursday. Chinese shares fell as weak bank lending data triggered liquidity concerns. The benchmark Shanghai Composite index ended down 7.88 points, or 0.22 percent, at 3,524.74 while Hong Kong’s Hang Seng index shed 142.34 points, or 0.53 percent, to finish at 26,517.82.

Japanese shares fell after four days of gains. The Nikkei average slipped 55.49 points, or 0.20 percent, to 28,015.02, while the broader Topix index closed marginally lower at 1,953.55.

Australian markets fluctuated before finishing on a flat note.

European shares are trading mostly higher. Among the major indexes in the region, the CAC 40 Index of France is progressing 16.76 points or 0.25 percent. The German DAX is adding 55.97 points or 0.35 percent, the U.K. FTSE 100 Index is sliding 10.86 points or 0.15 percent.

The Swiss Market Index is adding 40.30 points or 0.33 percent.

The Euro Stoxx 50 Index, which is a compilation of 50 blue chip stocks across the euro area, is up 0.39 percent.

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