US preopen: Stocks edge up on cautious optimism ahead of data and Fedspeak
US stock futures inched up on Wednesday as investors adopted a cautiously optimistic stance ahead of several Federal Reserve speakers and a raft of corporate earnings.
ALPHABET-A
$191.79
12:29 03/01/25
Bank of America Corp.
$44.81
11:09 03/01/25
Dow Jones I.A.
42,732.13
04:30 15/10/20
JP Morgan Chase & Co.
$243.28
10:59 03/01/25
Nasdaq 100
21,326.16
12:15 03/01/25
Wells Fargo & Co.
$71.31
10:59 03/01/25
Futures for the Dow Jones Industrial Average rose 0.4% to 18033 while futures on the S&P500 added 0.33% to 2104.
Equity futures were riding higher on the back of gains in European markets as investors assessed comments by European Central Bank chief Draghi at the monthly policy meeting together with upbeat Eurozone trade data released earlier in the session. The ECB retained its policies and affirmed its monthly asset purchase programme.
Worries about Greece remain a headache for markets, even more so on Wednesday as reports suggest a deal between EU leaders and the Greek government to provide urgent funding remains out of reach in coming days.
Earlier, Asian stock markets slumped following dismal Chinese GDP figures which met expectations of Chinese policymakers who have penciled in 7% growth.
Traders however were unsettled by the data, although that was compensated for by hopes that the Chinese central bank will inject further stimulus in the coming months to spur economic growth.
In the US, the focus is on Fed speakers with St. Louis Fed President James Bullard due to give a speech on the economy and monetary policy and Fed Vice Chairman Stanley Fischer who is moderating a panel at IMF on bank regulation and Richmond Fed President Jeffrey Lacker who will be talking to business leaders in Charleston, South Carolina.
Attention will also be on the latest economic releases with figures on industrial production and the Fed’s Beige Book all on the line-up.
Earnings wise, Bank of America said it returned to profit in the first quarter after putting the costly settlements from the financial crisis behind it. The bank recorded a profit of $3.4bn, or $27 cents a share, in the first three months of the year.
Bank of America's earnings were released a day after JPMorgan Chase & Co and Wells Fargo both reported relatively upbeat earnings.
Meanwhile, shares of Google Inc are expected to slide after Europe’s antitrust regulator filed formal charges against the online-search company.
Elsewhere, WTI crude oil rose 1.5% to $54.30 per barrel after the International Energy Agency said global oil demand will grow more than previously expected in 2015.
The US dollar meanwhile advanced against major currencies, with the euro down 0.6% against the greenback. Gold was little changed at $1193.4 per troy ounce.