Stocks May Regain Ground Following Yesterday's Pullback - U.S. Commentary

(RTTNews) - After showing a notable move to the downside in the previous session, stocks are likely to regain some ground in early trading on Friday. The major index futures are currently pointing to a higher open for the markets, with the Dow futures up by 32 points.

Traders may look to pick up stocks at somewhat reduced levels following the pullback seen on Thursday, although trading activity is likely to be relatively subdued.

With a major winter storm menacing New York and the rest of the Northeast, many traders are likely to remain away from their desks on the final day of this holiday-interrupted week.

A lack of major U.S. economic data is also likely to keep traders on the sidelines, although comments from several Federal Reserve officials may attract some attention.

Remarks from Fed Chairman Ben Bernanke are likely to be the main attraction, with the central bank chief due to speak on the changing Fed in Philadelphia at 2:30 pm ET.

The speech is expected to be one of Bernanke's last public appearances before the end of his eight-year run as the Chairman of the Fed at the end of the month.

Trading could also be impacted by reaction to the release of monthly sales data from the major auto makers. Chrysler recently reported that its sales rose 6 percent in December, below analyst estimates.

Following the standout performance that was seen last year, stocks started the New Year on a significantly more negative note. The drop marked the first time since 2008 that the markets moved to the downside on the first trading day of the year.

The major averages moved roughly sideways going into the close of trading, stuck firmly in the red. The Dow tumbled 135.31 points or 0.8 percent to 16,441.35, the Nasdaq fell 33.52 points or 0.8 percent to 4,143.07 and the S&P 500 slid 16.38 points or 0.9 percent to 1,831.98.

In overseas trading, stock markets across the Asia-Pacific region moved mostly lower during trading on Friday. Hong Kong's Hang Seng Index plummeted by 2.2 percent, while China's Shanghai Composite Index tumbled by 1.2 percent. The Japanese markets remained closed.

Meanwhile, the major European markets have moved to the upside on the day. While the U.K.'s FTSE 100 Index has risen by 0.3 percent, the German DAX Index and the French CAC 40 Index are up by 0.5 percent and 0.7 percent, respectively.

In commodities trading, crude oil futures are sliding $0.31 to $95.13 a barrel after plunging $2.98 to $95.44 a barrel on Thursday. Gold futures, which jumped $22.90 to $1,225.20 an ounce in the previous session, are climbing $3.40 to $1,228.60 an ounce.

On the currency front, the U.S. dollar is trading at 104.41 yen compared to the 104.81 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.3637 compared to yesterday's $1.3672.