Opening Bell: Futures, Stocks Mixed As Markets Seek Direction Amid Virus Woes

On Thursday, US contracts, including those for the Dow, S&P 500, NASDAQ and Russell 2000 and global stocks hovered near record highs after a blockbuster November}}, with traders considering their next move amid a torrent of themes. Continued increases in infections and deaths from COVID-19 in the US were offset by positive news on distribution of the vaccine. And an apparent impasse in Brexit negotiations contrasted with speculation of a breakthrough on OPEC+ gridlock.

As a result oil traded above $45 while the dollar slump continued.

US futures have been mixed ahead of the start of the Wall Street session after Wednesday’s rally, which handed the S&P 500 Index another record close, up 0.2% to 3669.01. Traders are probably waiting for news on US stimulus talks, and are hopeful after President-elect Joseph Biden vowed to aid workers hit by COVID-19 and Senator Bernie Sanders called for an “unprecedented” response to the pandemic.

On the pandemic front, America notched rising inventories are betting oil will continue rising, based on the technicals.

Oil is trading along a falling flag, and is expected to break to the topside following its preceding spike. However, only after that breakout will the pattern complete itself.

Up Ahead/h2

• The U.S. {{ecl-227||employment report on Friday is expected to show more Americans headed back to work in November, though at a slower pace than October.
• German factory orders for October are due Friday.

Market Moves/h2

Stocks/h3

• Futures on the S&P 500 Index were little changed.
• The Stoxx Europe 600 Index was little changed.
• The MSCI Asia Pacific Index advanced 0.5%.
• The MSCI Emerging Markets Index gained 0.5%.

Currencies/h3

• The Dollar Index fell 0.1% to 90.95.
• The euro gained 0.1% to $1.2132.
• The British pound jumped 0.3% to $1.3404.
• The onshore yuan was little changed at 6.56 per dollar.
• The Japanese yen strengthened 0.1% to 104.32 per dollar.

Bonds/h3

• The yield on 10-year Treasuries gained less than one basis point to 0.94%.
• The yield on two-year Treasuries increased less than one basis point to 0.16%.
• Germany’s 10-year yield fell one basis point to -0.53%.
• Japan’s 10-year yield was unchanged at 0.026%.
• Britain’s 10-year yield fell one basis point to 0.348%.

Commodities/h3

• West Texas Intermediate crude climbed 0.1% to $45.31 a barrel.
• Brent crude increased 0.3% to $48.38 a barrel.
• Gold strengthened 0.4% to $1,839.33 an ounce.