(RTTNews) - After recovering from an early pullback to end the previous session modestly higher, stocks may see further upside in early trading on Friday. The major index futures are currently pointing to a higher open for the markets, with the S&P 500 futures up by 0.4 percent.
Stocks may continue to benefit from optimism about an end to the U.S.-Iran war even as crude oil prices remain elevated going into the busy Memorial Day weekend.
In remarks to reporters on Thursday, Secretary of State Marco Rubio claimed the U.S. and Iran have made "some progress" in negotiations to end the war.
Rubio also said there have been "some good signs" but cautioned he doesn't want to be "overly optimistic" and noted President Donald Trump has been clear he has "other options" if the U.S. and Iran can't get a "good deal."
One of the sticking points seems to be Iran's efforts to establish a tolling system for the Strait of Hormuz, which Rubio called "unacceptable" and said "would make a diplomatic deal unfeasible."
Rubio's comments come as reports from Iranian state media suggest the latest U.S. peace proposal has narrowed some of the gaps between the two countries.
Shortly after the start of trading, the University of Michigan is scheduled to release its revised reading on consumer sentiment in the month of May.
The consumer sentiment index for May is expected to be unrevised from the preliminary reading of 48.2, which was down from 49.8 in April and marked a new record low.
The Conference Board is also due to release its report on leading economic indicators in the month of April. The leading economic index is expected to dip by 0.3 percent in April after falling by 0.6 percent in March.
Following the rally seen during Wednesday's session, stocks moved back to the downside in early trading on Thursday before regaining ground over the course of the day.
The major averages saw considerable volatility in the latter part of the session but finished in positive territory, with the Dow reaching a new record closing high.
The Dow advanced 276.31 points or 0.6 percent to 50,285.66, the S&P 500 rose 12.75 points or 0.2 percent to 7,445.72 and the Nasdaq inched up 22.74 points or 0.1 percent to 26,293.10.
In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Friday. Japan's Nikkei 225 Index surged by 2.7 percent, while China's Shanghai Composite Index jumped by 0.9 percent.
The major European markets have also moved to the upside on the day. While the German DAX Index is up by 1.1 percent, the French CAC 40 Index is up by 0.7 percent and the U.K.'s FTSE 100 Index is up by 0.4 percent.
In commodities trading, crude oil futures are climbing $0.40 to $96.75 a barrel after tumbling $1.91 to $96.35 a barrel on Thursday. Meanwhile, after rising $7.20 to $4,542.50 an ounce in the previous session, gold futures are falling $18.50 to $4,524 an ounce.
On the currency front, the U.S. dollar is trading at 159.10 yen versus the 158.96 yen it fetched at the close of New York trading on Thursday. Against the euro, the dollar is valued at $1.1599 compared to yesterday's $1.1618.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
