Stock futures shifted higher on Friday morning as Wall Street looks to extend its year-end rally.
Futures for the Dow Jones Industrial Average rose 322 points, or about 0.87%. S&P 500 futures were up about 1% and Nasdaq 100 futures were down 0.31%.
The move in futures comes on the heels of a bounce-back day on Wall Street. The Dow rose 322 points, or about 0.9%, erasing most of its losses from Wednesday. The S&P 500 and Nasdaq Composite rose 1.0% and 1.3%, respectively.
The small-cap Russell 2000 led the way with a gain of 1.7% on Thursday, continuing a recent trend of the market rally broadening out as bond yields fall and traders bet on rate cuts from the Federal Reserve. The small-cap index is on pace for its sixth straight positive week.
“Basically, the trend is your friend. Right now the trend is up in stocks. … Small-caps and mid-caps really like easing conditions by the Fed,” John Spallanzani of Miller Value Partners said on “Closing Bell.”
The three major averages are on pace for their eighth positive week in a row — a first for the S&P 500 since 2017 and for the Dow dating back to 2019. The S&P 500 is up 0.58% for the week, while the Dow has a gain of 0.27%. The Nasdaq is up 1% in the period.
Nike could be a key stock to watch on Friday, as the Dow component was down 11% in extended trading after warning of soft revenue in its fiscal second-quarter earnings report. On the data front, consumer spending and a key inflation reading are due out before the bell on Friday morning.
The U.S. stock market will be closed on Monday for Christmas.
