U.S. Stocks May Extend Yesterday's Rebound In Early Trading

(RTTNews) - Stocks may move to the upside in early trading on Friday, extending the rebound seen in the previous session. The major index futures are currently pointing to a modestly higher open for the markets, with the S&P 500 futures up by 0.2 percent.

The markets may continue to benefit from the upward momentum seen on Thursday, which came amid a positive reaction to earnings from companies like Taiwan Semiconductor (TSM), Goldman Sachs (GS) and Morgan (MS).

Buying interest may be somewhat subdued, however, as traders keep an eye on rising geopolitical tensions around the world.

President Donald Trump's threats to take control of Greenland continue to attract attention, with European troops arriving in the territory in a show of support.

Traders also continue to keep an eye on developments in Venezuela, political unrest in Iran and the ongoing Russia-Ukraine war.

Shortly before the start of trading, the Federal Reserve is scheduled to release its report on industrial production in the month of December. Industrial production is expected to inch up by 0.1 percent in December after rising by 0.2 percent in November.

The National Association of Home Builders is due to release its report on homebuilder confidence in the month of January not long after the start of trading. The housing market index is expected to tick up to 40 in January from 39 in December.

After turning in a strong performance for much of the session, stocks gave back some ground in the latter part of the trading day on Thursday but managed to remain mostly higher.

The major averages all ended the day in positive territory, regaining some ground following the pullback seen over the two previous sessions.

The Dow advanced 292.81 points or 0.6 percent to 49,442.44, the Nasdaq climbed 58.27 points or 0.3 percent to 23,530.02 and the S&P 500 rose 17.87 points or 0.3 percent to 6,944.47.

In overseas trading, stock markets across the Asia-Pacific region turned in another mixed performance on Friday. Japan's Nikkei 225 Index and China's Shanghai Composite Index both dipped by 0.3 percent, while South Korea's Kospi advanced by 0.9 percent.

Meanwhile, the major European markets have moved to the downside on the day. While the French CAC 40 Index is down by 0.6 percent, the German DAX Index is down by 0.3 percent and the U.K.'s FTSE 100 Index is down by 0.1 percent.

In commodities trading, crude oil futures are jumping $0.68 to $59.87 a barrel after plummeting $2.83 to $59.19 a barrel on Thursday. Meanwhile, after falling $12 to $4,623.70 ounce in the previous session, gold futures are sliding $24.40 to $4,599.30 an ounce.

On the currency front, the U.S. dollar is trading at 158.02 yen versus the 158.64 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.1617 compared to yesterday's $1.1606.