A trader on the floor of the New York Stock Exchange.
U.S. stock futures rose in early morning trading on Thursday after the blue chip average in the market set another record during the regular session.
Dow Jones futures contracts added 142 points or 0.44%. Those for the S&P 500 climbed 0.6%, while the Nasdaq 100 futures jumped 1.11%.
The movement in futures contracts followed The Dow jumped 464 points to a record high on Wednesday. The S&P 500 rose 0.6%, while the Nasdaq Composite ticked slightly as rotation from inventories continued to grow.
The gains on Wednesday arrived when the House passed A $ 1.9 trillion incentive package, sending it to President Joe Biden and while the bond market digested a ten-year government bond auction to $ 38 billion without a jump in instability.
Rising interest rates have accelerated the shift from technology and growth stocks in recent weeks to more cyclical sectors, such as energy. Higher rates make profits in the distant years seem less attractive to investors and can bring down stocks with relatively high estimates.
“Accelerating U.S. economic growth seems to be raising inflation and long-term interest rates faster than expected,” said Gary Schlossberg of the Wells Fargo Investment Institute. “The pace of these increases has recently worried investors, but the recovery in interest rates and inflation is a typical phenomenon in the early stages of recovery – in our view faster due to the unusually strong recovery in economic growth.”
This week was stronger for total inventories, however, as the Nasdaq wave pulled the index out of correction territory on Tuesday. The Invesco QQQ Trust, which follows the Nasdaq 100, rose slightly this week after falling in the previous three weeks.
In terms of data, investors will receive two new readings on the labor market recovery on Thursday. Last week’s initial number of unemployment claims will be announced at 8:30 a.m. CET, while economists polled by Dow Jones will expect 725,000 new claims. The survey on job creation and labor turnover for January will come later in the morning.