Even as oil prices show some reversal, there is some form of hesitation in the U.S. stock futures to blindly mirror oil ahead of the market opening today.
Gains are limited
Though the sentiment points to a rally today, the gains are limited with S&P 500 Futures up by 0.38% at 1,904 and Nasdaq Futures trading higher by 0.23% at 4,201.75. A day earlier, Dow Jones Industrial Average had closed steeply lower by 1.8%, while Nasdaq fell by 2.2%.
The key data under focus today will be ADP jobs report for the month of January alongside a report on the service sector growth rate in January to be presented by the U.S. Institute of Supply Management. Other than this, a number of renowned companies will release earnings, which will also guide the sentiment of the markets later in the day.
Update from world markets
Meanwhile, oil prices found some support after Russia again expressed its interest in discussing the oil glut situation with the OPEC and non-OPEC members. Apart from this, the market is also widely anticipating that the weekly oil supply data, which will be posted later today, might show that the crude stock piles grew at a pace slower than last week. The market has anticipated that the oil supplies will continue growth by 4.8 million barrels.
Around the globe, Asian indices remained in negative territory as any recovery in oil prices came only after the closing of the Asian markets. Most of the key indices finished the day broadly lower. At the same time, the Bank of Japan has also reiterated that it will expand its stimulus measures if deemed necessary, however, the statement barely left any impact on the markets. This was clearly visible from the direction of the European markets, which traded lower during the early part of the day but managed to shrug off those losses as oil moved above $33 per barrel.