• 
• See all for optionMONSTER
• View Print Version

• Savient buyers come back for more
• What's behind put buying in Safeway
• Protection is key to Starwood trade

Stock futures are continuing to climb today following yesterday's big rally.

The S&P 500 is indicating an open higher by about 0.5 percent, matching similar moves in the Dow Jones Industrial Average and the Nasdaq. Gains are even greater overseas, where most indexes advanced 1 percent to 2 percent after the Federal Reserve said it would flood the financial system with liquidity in hopes of driving job growth. The action was stronger than most expected, driving capital into weak-dollar assets such as the euro, materials, energy, and metals.

The trend is continuing this morning as oil and natural gas climb by almost 2 percent. Copper advanced more than 3 percent, and agricultural foodstuffs are higher across the board. Buying appears to have shifted away from precious metals for the time being, with gold up only slightly and silver posting a small decline.

Oil prices have also gotten a boost from worries about unrest in the Middle East. Japan revised higher its industrial production figures for July, which provides more ammunition to hopes of economic strength.

Foreign exchange shows all of the traditional "risk appetite" correlations at work, with the U.S. currency lower against the euro, Canadian dollar, and Australian dollar. The Japanese yen is down against other currencies across the board, which usually occurs when investors seek turn bullish toward stocks and commodities.

Momentum continues for stocks in the materials sector. Metals producer Rio Tinto is indicated higher by 4 percent, U.S. Steel is up 2 percent, and coal miner Cliffs Natural Resources is gaining 3 percent in pre-market trading. Bank of America and Citigroup are both up more than 1 percent.

In other company-specific news, Analogic rallied about 10 percent yesterday afternoon following a strong quarterly profit report.

Related Options Articles

• 
  Williams sees giant momentum trade
  5/22/2013 05:24 AM
• 
  Bulls reach for the clouds in Teradata
  5/22/2013 05:24 AM
• 
  Bernanke remarks dominate calendar
  5/22/2013 02:24 AM