S&P 500 and Dow stock index futures pointed to a higher open as Citigroup
General Electric Co
I think we're seeing a bottoming of the trends. I feel that the numbers are showing stabilization in the global economy, said Jim Hardesty, president, market strategist & chief economist at Hardesty Capital Management in Baltimore.
Citi's shares rose 9.7 percent to $4.40, while GE rose 3.10 percent to $12.62 in premarket trade.
The health of the financial sector has been a key concern for investors. The present rally from early March began when several banks said they were profitable in January and February.
S&P 500 futures rose 2.6 points and were above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures rose 24 points, and Nasdaq 100 futures lost 2.75 points.
The S&P 500 has risen for two straight days and is up around 1 percent for the week, setting the broad based index on course for six consecutive weeks of gains.
State Street, which tracks buying and selling within the $12 trillion in assets it holds as custodian, said flows into U.S. equities were close to the highest they have been in 12 years.
We've had a great rally, said Paul Mendelsohn, chief investment strategist at Windham Financial Services in Charlotte, Vermont. I would expect it to slow down a little bit from here.
In other news a bankrupt General Motors Corp
On the economic front the Reuters/University of Michigan April survey of consumer sentiment, due at 9.55 a.m., is expected to have risen for a second consecutive month to 58.5 from March's 57.3.
(Additional reporting by Ryan Vlastelica)
(Reporting by Edward Krudy; Editing by Theodore d'Afflisio)