WASHINGTON (dpa-AFX) - After climbing to record highs in the previous session, stocks may show a lack of direction in early trading on Tuesday. The major index futures are currently pointing to a roughly flat open for the markets, with the Dow futures up by just 26 points.
Traders may stick to the sidelines as they wait for further developments on the U.S.-China trade front, with optimism about a potential deal helping push stocks higher on Monday.
A statement from China's Commerce Ministry revealed Chinese Vice Premier Liu He held a phone call with U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steve Mnuchin earlier today.
The statement said the two sides discussed how to resolve each other's core concerns, reached consensus on how to resolve related issues, and agreed to maintain communication on the remaining issues in the first phase of agreement negotiations.
The upcoming Thanksgiving Day holiday may also contribute to light trading activity, with some traders choosing to make their moves on Monday before heading out for an extended break.
Nonetheless, recent upward momentum may lead to continued strength on Wall Street, as the way higher has recently seemed to be the path of least resistance.
Shortly after the start of trading, the Commerce Department is due to release its report on new home sales in the month of October. New home sales are expected to jump by 1.1 percent in October and falling by 0.7 percent in September.
The Conference Board is also scheduled to release its report on consumer confidence in the month of November at 10 am ET. The consumer confidence index is expected to inch up to 126.9 in November from 125.9 in October.
Stocks showed a strong move to the upside over the course of the trading session on Monday, more than offsetting the modest pullback seen last week. With the upward move, the major averages ended the day at new record closing highs.
The major averages reached new highs going into the close of trading. The Dow climbed 190.85 points or 0.7 percent to 28,066.47, the Nasdaq surged up 112.60 points or 1.3 percent to 8,632.49 and the S&P 500 advanced 23.35 points or 0.8 percent to 3,133.64.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Tuesday. Japan's Nikkei 225 Index rose by 0.4 percent, while China's Shanghai Composite Index closed just above the unchanged line.
Meanwhile, the major European markets have turned mixed on the day. While the German DAX Index has edged down by 0.1 percent, the French CAC 40 Index is just above the unchanged line and the U.K.'s FTSE 100 Index is up by 0.1 percent.
In commodities trading, crude oil futures are climbing $0.37 to $58.38 a barrel after rising $0.24 to $58.01 a barrel on Monday. Meanwhile, after sliding $6.70 to $1,456.90 an ounce in the previous session, gold futures are slipping $2.50 to $1,454.40 an ounce.
On the currency front, the U.S. dollar is trading at 108.98 yen compared to the 108.93 yen it fetched at the close of New York trading on Monday. Against the euro, the dollar is valued at $1.1018 compared to yesterday's $1.1014.
Copyright RTT News/dpa-AFX
© 2019 AFX News
