US stocks: Dow futures up nearly 200 points as Asia equities soar
New York (Sept 9) US stock futures pointed to a higher open Wednesday, with Dow futures rising by triple digits after Asian markets soared in the wake of reassuring comments from officials in Beijing and Tokyo.
S&P 500 futures ESU5, +1.11% rose 20.55 points, or 1.1%, to 1,986.25, while Dow Jones Industrial Average futures DJU5, +0.00% gained 183 points, or 1.1%, to 16,635. Nasdaq 100 futures NQU5, +1.27% tacked on 55 points, or 1.3%, to 4,353.50.
Investors are also waiting for the latest device rollout from Apple Inc. AAPL, +1.21% the largest company by market capitalization, as well as for a fresh reading on U.S. job openings.
Japan’s Nikkei NIK, +7.71% closed up 7.7%, its biggest percentage gain in more than seven years, after Prime Minister Shinzo Abe pledged to make tax cuts. Meanwhile, the Shanghai Composite SHCOMP, +2.29% jumped 2.3% after China’s Ministry of Finance said it would speed up tax reforms, increase infrastructure spending and accelerate public-private partnerships to aid economic growth. European equities SXXP, +2.26% traded higher early Wednesday following the upbeat Asian action.
A “kind of panic” experienced in the last few weeks has “very much evaporated”, and this week looks “very robust for the equity markets,” said Naeem Aslam, chief market analyst at AvaTrade, in emailed comments on Wednesday.
But he warned that more volatility is likely, noting that the main focus for traders remains next week’s Federal Reserve meeting, where the U.S. central bank could raise interest rates.
On Tuesday, the S&P 500 SPX, +2.51% and Dow DJIA, +2.42% both closed sharply higher.
Among individual stocks on Wednesday, Apple is expected to unveil new versions of its iPhone and Apple TV at an event at 1 p.m. Eastern Time. Shares in United Continental Holdings Inc. UAL, +1.45% also could make moves, after the carrier late Tuesday said its chief executive had stepped down amid a federal probe.
On the economic front, the Labor Department’s latest Job Openings and Labor Turnover Survey, or JOLTS release, is due at 10 a.m. Eastern Time.
In other trading, crude oil CLV5, -1.37% was slightly higher, while gold GCZ5, -0.16% and the dollar DXY, +0.52% were little changed.
Source: MarketWatch
