Stocks May Show A Lack Of Direction In Early Trading - U.S. Commentary

(RTTNews) - After trending higher over the past few sessions, stocks may show a lack of direction in early trading on Thursday. The major index futures are currently pointing to a roughly flat open for the markets, with the Dow futures up by just 11 points.

Trading activity is likely to be relatively subdued on the day, contributing to a lackluster performance by the broader markets.

Many traders are likely to get a head start on the upcoming three-day weekend, as the markets will close earlier than usual.

The markets are scheduled to close at 1 pm ET this afternoon in honor of Christmas Eve and remain closed for all of Christmas Day on Friday.

On the U.S. economic front, the Labor Department recently released a report showing that initial jobless claims fell by more than expected in the week ended December 19th.

The report said initial jobless claims dipped to 267,000, a decrease of 5,000 from the previous week's revised level of 272,000.

Economists had expected jobless claims to edge down to 270,000 from the 271,000 originally reported for the previous week.

With energy stocks leading the way higher, considerable strength was visible on Wall Street during trading on Wednesday. The gains on the day extended a recent upward move, with the major averages closing higher for the third straight day.

The major averages ended the day just off their highs for the session. The Dow jumped 185.34 points or 1.1 percent to 17,602.61, the Nasdaq advanced 44.82 points or 0.9 percent to 5,045.93 and the S&P 500 surged up 25.32 points or 1.2 percent to 2,064.29.

In overseas trading, stock markets across the Asia-Pacific region turned in a mixed performance in light trading on Thursday. Japan's Nikkei 225 Index fell by 0.5 percent, while Hong Kong's Hang Seng Index rose by 0.4 percent.

The major European markets are also turning in a mixed performance, with the German markets closed on the day. While the U.K.'s FTSE 100 Index is up by 0.2 percent, the French CAC 40 Index is down by 0.2 percent.

In commodities trading, crude oil futures are rising $0.23 to $37.73 a barrel after rallying $1.36 to $37.50 a barrel on Wednesday. An ounce of gold is currently trading at $1,072.70, up $4.40 from the previous session's close of $1,068.30. On Wednesday, gold fell $5.90.

On the currency front, the U.S. dollar is trading at 120.42 yen compared to the 120.92 yen it fetched at the close of New York trading on Wednesday. Against the euro, the dollar is valued at $1.0946 compared to yesterday's $1.0912.