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Investing.com – U.S. stocks are seen opening marginally higher Wednesday in holiday-thinned trade, continuing the recent positive tone as investors reassess the potential economic impact from the Omicron Covid variant.
At 7 AM ET (1200 GMT), the Dow Futures contract was up 10 points, or 0.1%, S&P 500 Futures traded 4 points, or 0.1%, higher and Nasdaq 100 Futures climbed 30 points, or 0.2%.
U.S. equities have rebounded since the hefty losses in late November when news of the fast-spreading Omicron Covid variant first emerged. The broad-based S&P 500 index has gained almost 5% in December, while the blue chip Dow Jones Industrial Average closed almost 100 higher on Tuesday, its fifth straight day of gains. The tech-heavy Nasdaq Composite has underperformed, dropping 0.6%.
This positive tone exists despite the average number of daily Covid-19 cases in the United States climbing to a record high of 258,312 over the past seven days, according to a Reuters tally.
The Omicron variant was estimated to make up 58.6% of the coronavirus variants circulating in the United States as of Dec. 25, according to data from the U.S. Centers for Disease Control and Prevention on Tuesday.
Recent studies have suggested the number of patients needing hospitalization with Omicron was sharply lower relative to Delta, the previous dominant variant, while vaccine makers have expressed confidence that their drugs will also offer protection.
Adding to the feeling of confidence, CDC Director Rochelle Walensky stated Tuesday that the center was not currently considering recommending a vaccine mandate for domestic flights.
U.S. economic data has tended to be strong of late, including consumer confidence improving more than expected in December despite the resurgence in Covid-19 infections, suggesting that the country’s recovery remains on track.
Turning to the corporate sector, Tesla (NASDAQ:TSLA) is likely to be in the spotlight with Chief Executive Officer Elon Musk having exercised all of his options expiring next year, probably removing the vast bulk of the stock overhang on the EV-maker after his pledge of selling 10% of his stake.
Elsewhere, JD.com (NASDAQ:JD) announced plans to boost its share buyback plan by 50%, now spending up to $3 billion, while also taking a five-year, $2 billion loan to fund its green projects and other corporate purposes.
Oil prices edged lower Wednesday, handing back some of the previous session’s gains on the back of a sharp decline in U.S. crude stockpiles.
Data from the American Petroleum Institute, released late Tuesday, showed U.S. inventories fell by 3.1 million barrels last week. If this is confirmed by weekly data from the U.S. Energy Information Administration, due later Wednesday, it would be a fifth consecutive weekly decline, the longest run of draws since September.
By 7 AM ET, U.S. crude futures traded 0.7% lower at $75.45 a barrel, while the Brent contract fell 0.4% to $78.31
Additionally, gold futures fell 0.8% to $1,796.65/oz, while EUR/USD traded 0.1% lower at 1.1301.
