Investing.com - U.S. futures pointed to a higher open Monday on Wall Street as investors breathed a sigh of relief over tensions in Syria and braced for a big week in earnings.
Tension over escalating conflict in Syria seemed to fade over the weekend after the U.S., France and UK undertook an airstrike on chemical weapons facilities in Syria in retaliation for a suspected poison gas attack in Douma on April 7.
Although Russian President Vladmir Putin warned Sunday that further attacks on Syria could cause “chaos in international relations”, U.S. President Donald Trump’s declaration of “mission accomplished” led market participants to interpret that no immediate military escalation would be forthcoming.
Earnings growth is expected to be up about 18.5%, according to Thomson Reuters data, the highest in seven years, as results are likely to have been boosted by President Trump's tax cuts.
For Monday’s session, Bank of America (NYSE:BAC) saw shares gain about 0.4% in pre-market trade after the firm reported first quarter earnings per share of $0.62 on revenue of $23.27 billion. That compared to forecasts for $0.59 and $23.06, respectively.
On the data front, investors will digest March retail sales and the NY Empire State manufacturing index for April at 8:30AM ET (12:30GMT), followed by February business inventories and the NAHB housing market index for April at 10:00AM ET (14:00GMT).
Fed fund futures price in the odds of the next hike for the June meeting at 90%, while Investing.com’s Fed Rate Monitor Tool shows the probability of a third hike in December at around 84%.
Ahead of the data releases and Fed appearances, the U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, fell 0.27% to 89.27 by 6:52AM ET (10:52GMT), while gold for June delivery on the Comex division of the New York Mercantile Exchange edged down 0.13% to $1,346.10.
Earlier, in Asia, most markets in the region closed lower, led by declines in Hong Kong and mainland China over worries about the Hong Kong dollar.
Oil prices sank around 1% on Monday after having gained 8% last week. Traders opted to take profit after Baker Hughes’ data released late Friday showed that U.S. drillers added seven oil rigs in the week to April 13, bringing the total count to 815, the highest number since March 2015. The data underscored worries that rising U.S. output could potentially derail OPEC's effort to end a supply glut.
Add a Comment
Are you sure you want to block %USER_NAME%?
By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.
%USER_NAME% was successfully added to your Block List
Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.