Wall Street set to open
higher ahead of Jackson Hole meeting
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[August 24, 2017]
By Sruthi Shankar
(Reuters) - U.S. stocks were set to open
higher on Thursday, buoyed by retail companies, although caution
prevailed ahead of the start of the annual gathering of central bankers
at Jackson Hole, Wyoming.
Federal Reserve Chair Janet Yellen and European Central Bank President
Mario Draghi are scheduled to speak on Friday, although the likelihood
of new policy messages from either are slim.
Nonetheless, their speeches will be perused for hints on the stand of
each central bank, especially the Fed, on monetary policy and its path
"I don't think it is likely that something of possible significance will
come out of Jackson Hole, but investors are looking for the world of
powerful people sharing their insights and opinions," said Andre Bakhos,
managing director at Janlyn Capital LLC in Bernardsville, New Jersey.
The Fed remains the only major central bank to have begun raising rates
and it is also seeking to rationalize the huge stores of securities it
has built while pumping cash into the economy in the past eight years.
"The investors, at this time, are really looking for a fresh theme,"
The central bankers' views will be a change from the past two weeks,
when the stock market has been roiled by concerns over geopolitics,
mayhem in Washington and President Donald Trump's controversial
U.S. stocks closed lower on Wednesday as investors grappled with a
threat from Trump to shut down the government if funds are not secured
to build a Mexico border wall – comments that came as a late-September
deadline looms for U.S. officials to raise the debt ceiling or risk a
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Traders work on the floor of the New York Stock Exchange (NYSE) in
New York, U.S., August 22, 2017. REUTERS/Brendan McDermid
At 8:30 a.m. ET (1230 GMT), Dow e-minis <1YMc1> were up 56 points, or 0.26
percent, with 22,244 contracts changing hands.
S&P 500 e-minis were up 5.5 points, or 0.23 percent, with 157,727 contracts
Nasdaq 100 e-minis were up 19.75 points, or 0.34 percent, on volume of 33,819
A report showed that the number of Americans filing for unemployment benefits
rose less than expected last week, suggesting a further tightening in labor
Another report expected at 10:00 a.m. ET is likely to show that existing home
sales rose in July.
Among stocks, shares of a slew of retailers rose after a round of strong
Signet Jewelers surged about 18 percent after the company also said it would buy
an online jeweler. Bigger rival Tiffany's shares rose about 3 percent to $91
after its results.
Dollar Tree shares rose 8.91 percent to $80.94 on strong profit and comparable
Abercrombie & Fitch soared about 18 percent following the teen apparel
retailer's smaller-than-expected loss.
However, Hormel Foods and J.M. Smucker fell about 6 percent each after the
packaged foods makers reported disappointing results and cut their full-year
(Reporting by Sruthi Shankar in Bengaluru; Editing by Savio D'Souza)
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