Positive stock indexes in Europe, Asia and Latin American helped boost U.S. stock index futures on Wednesday, though the housing market revealed its continuing weakness as the Mortgage Bankers' Association Mortgage Application Index dropped while interest rates fell.
As long as the labor markets remain uncertain and U.S. unemployment persists around 10 percent, Americans appear to be wary of committing capital to major home purchases. A federal tax credit which expired in April helped compress purchases into the first half of the year, but demand for new housing seems to have collapsed in the wake of its expiration.
Globally, however, the tone was optimistic; emerging market and European stock index futures gained. In Hong Kong, Hang Seng index futures were up 260 points to 22,382 at 4:15 a.m. EST, while FTSE 100 index futures rose 9 points to 5,566 at 8:13 a.m. EST. Mexico's Bolsa index futures climbed 122 points to 33,390.
Dow Jones Industrial Average index futures saw a gain of 14 points to 10,802, while S&P 500 index futures rose just 1.5 points to 1,143.2 at 8:16 a.m. EST.
Nasdaq 100 index futures were up 4.5 points to 2,013.
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.