U.S. stocks were pointing to a moderately higher open on Wednesday, led by gains in the energy sector, amid growing optimism that major oil producers were closing in on a deal to curb production at a meeting in Vienna, and as the U.S. economy saw a major jump in job creation.
Oil prices surged with global benchmark Brent Crude up 7.85% recently and U.S. benchmark West Texas Intermediate up 7.30% after some positive signals from delegates of Saudi Arabia, Iraq and Iran that an agreement would be reached.
Data released at 8:15 a.m. showed the ADP employment report coming in at a strong 216,000, well above the 160,000 increase seen by forecasters and higher than the 147,000 in October, according to data compiled by Econoday.
At 8:30 a.m., data showed personal income rose 0.6% in October, above the 0.4% estimate and compared to the 0.4% growth seen in the prior month. Consumer spending rose 0.3% versus the 0.5% consensus and prior level of 0.7%.
At 9:45 a.m., the Chicago PMI index is expected to gain 1.4 points to 52.0 in November.
At 10:00 a.m., pending home sales index is expected to rise 0.8% in October, versus the sharp 1.5% increase seen in September.
Federal Reserve Presidents Robert Kaplan and Loretta Mester and Governor Jerome Powell are all scheduled to give speeches.
In equities, shares of Arrowhead Research ( ARWR ) were 59.5% lower pre-bell after the company said late Tuesday that it will discontinue the development of certain clinical-stage drug candidates and will rebalance its resources to support the development of RNAi-based therapeutics.
U.S. PRE-MARKET INDICATORS
-Dow Jones Industrial up 0.21%
-S&P 500 futures up 0.25%
-Nasdaq 100 futures up 0.09%
-Nasdaq 100 pre-market indicator up 0.14%
Nikkei up 0.01%
Hang Seng up 0.23%
Shanghai Composite down 1.00%
FTSE-100 up 0.86%
DAX-30 up 0.19%
PRE-MARKET SECTOR WATCH
(+/-) Large cap tech: mixed
(+) Chip stocks: unchanged to higher
(+) Software stocks: unchanged to higher
(+) Hardware stocks: unchanged to higher
(+-) Internet stocks: mixed
(+) Oil stocks: higher
(+) Biotech stocks: unchanged to higher
(+/-) Drug stocks: mixed
(+) Financial stocks: higher
(+/-) Retail stocks: mixed
(+) Industrial stocks: unchanged to higher
(-) Airlines: lower
(+) Autos: higher
(+) SCON (+51.6%) Selected as prime recipient of $4.5 million program from Department of Energy
(+) RIG (+3.1%) Prices $625 million notes offering
(+) SPLK (+6.8%) Tops Q3 estimates
(-) VALE (-7.9%) Rethinks pace of asset sale plan to chip away debt load
(-) CMRE (-19.4%) Prices common stock offering at $6 per share
(-) AEO (-7.8%) Q4 earnings outlook below Street estimate