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Feb 23, 2017

U.S. Stock Market Future Indications on February 23, 2017: Dow Eyes 10th Day of Gains as U.S. Stock Futures Rise on Back of Oil Rally



marketwatch.com

Sara Sjolin
U.S. stock futures pointed to small gains Thursday on Wall Street, setting the Dow on track to extend its longest record-setting run in three decades.
Futures for the Dow Jones Industrial Average YMH7, +0.16% crept 18 points higher, or 0.1%, to 20,767, indicating a 10th straight advance for the blue-chip benchmark. On Wednesday, the Dow rose 0.2%, with its ninth consecutive rise also allowing the blue-chip benchmark to notch its longest run of record closes since 1987.
The string of gains also marked the longest winning streak since last July, when the index last rose in nine straight sessions. If the Dow closes higher on Thursday, it’ll be longest winning run since March 2013, when it also rose for 10 straight trading sessions.
Futures for the S&P 500 inde ESH7, +0.14% advanced 2.10 points, or 0.1%, to 2,363.50 early Thursday, while those for the Nasdaq-100 index NQH7, +0.09% added 4.5 points, or 0.1%, to 5,355.50.
The S&P 500 SPX, -0.11% and Nasdaq Composite COMP, -0.09% on Wednesday both edged lower after minutes from the Federal Reserve’s meeting earlier this month showed central-bank policy makers are comfortable with raising rates “fairly soon”.
Oil rally: The premarket gains on Thursday came as oil prices rallied and helped lift shares of U.S. energy giants. Crude oil CLJ7, +1.74% climbed 1.5% to $54.40 a barrel, while Brent LCOJ7, +1.74% gained 1.5% to $56.87 a barrel, rebounding after Wednesday’s losses. Traders digested data from the American Petroleum Institute that showed a 884,000-barrel decline in U.S. crude supplies last week.
Official inventory data from the U.S. Energy Information Administration will be released later on Thursday.
“Expectations are for a modest build in reserves to be posted, but if we do see a drop, look for crude to stage a rally — although a sustained break above $54.50 could remain something of a challenge in the short term,” said Tony Cross, market analyst for TopTradr, in a note.
Read: Why oil experts think OPEC’s U.S. headache won’t go away this year
And: OPEC chief Barkindo plays down threat from rise in U.S. oil output
Shares of Exxon Mobil Corp XOM, -1.17% rose just 0.4% in premarket trades, but Chesapeake Energy Corp. CHK, -2.63% added 2.5%, Transocean Ltd. RIG, -1.41% gained 2.9% and Marathon Oil Corp. MRO, -3.79% advanced 1%.
Stock movers: Among other stock-market movers, shares of Tesla Inc. TSLA, -1.40% rose early but later swung 0.4% lower after the electric-car maker late Wednesday reported a wider-than-expected quarterly loss, but beat sales expectations.
On a downbeat note, shares of L Brands Inc. LB, +0.75% sank 13% after the Victoria’s Secret parent late Wednesday issued weaker-than-forecast guidance for 2017.
Hormel Foods Corp. HRL, -0.80% lost 3.5% before the open after the food company cut its earnings forecast for the year following a sharp decline in profit from its Jennie-O turkey brand.
Kohl’s Corp. KSS, +0.00% rose 2.3% after earnings beat forecasts.
Kate Spade & Co. KATE, +0.72%  and AMC Entertainment Holding Inc. AMC, +1.62% are slated to report quarterly results ahead of the bell.