US pre-open: Futures edge higher as Wall Street looks to build on Friday's rally

The Dow Jones Industrial Average is expected to open up approximately 19 points, while the S&P 500 and the Nasdaq are set to begin the first session of the week three and 10 points higher respectively.

On Friday, the Dow Jones surged 370 points, clinching its biggest one-day gain in almost three months, while the S&P advanced 2% on the back of a strong jobs report, which paved the way for the Federal Reserve to hike interest rates for the first time in almost a decade.

“After moving sharply higher following last Friday’s non-farm figure, investors lifted by the ostensible end of the year-long Fed uncertainty, it will be interesting to see if any of that nascent pro-hike sentiment can continue into this week,” said Spreadex’s financial analyst Connor Campbell.

The economic calendar has very little to offer on Monday, with the labour market conditions index for November, scheduled for 1500 GMT, the only data of note.

Investors will also hear from St Louis Fed President James Bullard, who will speak on the US economy and monetary policy at 1730 GMT in Indiana.

Bullard’s speech is expected to be the last by a Fed official ahead of the US central bank meeting over 15-16 December, when the Fed is widely expected to announce the first hike in interest rates in almost ten years.

In company news, Chipotle Mexican Grill slumped 9.91% ahead of the bell after the restaurant chain warned on Friday its fourth quarter sales fell in the wake of an E.coli outbreak.

Going the other way, General Electric advanced 0.13% after revealing it decided to abandon the sale of its appliance business to Sweden’s Electrolux AB.

Car parts retailer Pep Boys-Manny, Moe & Jack rose 3.22% in pre-market trading after activist investor Carl Icahn late Friday disclosed a 12% stake in the company.

Elsewhere, Asian equities began the week on a mixed note, while their European counterparts gained ground.

The dollar was on the front foot against the main currencies, gaining 0.31% against the pound and advancing 0.21% and 0.71% against the yen and the euro respectively, while spot gold fell 0.40% to $1,082.05.

Oil prices fell, with West Texas Intermediate losing 1.96% to $39.20 a barrel, while Brent shed 1.08% to $42.54 a barrel.