Dow futures up 103 points as stock futures extend gains

MADRID (MarketWatch) — Stock futures point to a strong opening Thursday, with Wall Street set to recoup some of the momentum it lost worrying about Greece, as investors refocus on data and jobless claims due Friday.

Dunkin’ Donuts Brands Group Inc. and Michael Kors reported before the bell, while deal news cme from Pfizer Inc.

Futures for the Dow Jones Industrial Average DJH5, +0.59%  rose about 110 points, or 0.62%, to 17,677, while those for the S&P 500 index SPH5, +0.63%  added 14.6 points, or 0.71%, to 2,044.5. Futures for the Nasdaq-100 index NDH5, +0.48%  gained 21.75 points, or 0.52%, to 4,225.7.

The S&P 500 index SPX, -0.42%  snapped a two-session winning streak, dropping 0.4% to 2,041.51, while the Dow industrials DJIA, +0.04%  barely hung onto three straight sessions of gains.

Stocks fell Wednesday on late-day news that the European Central Bank rejected Greek bonds as collateral, while a near 9% drop for crude prices hit energy stocks hard. March crude CLH5, +2.04%  was up 63 cents to $ 49.09 a barrel.

WSJ market wrap: Feb. 4, 2015


The Dow industrials gave up gains and the S&P 500 moved lower. Meanwhile, Chipotle forecast weaker sales. Photo: AP.

The Stoxx European 600 SXXP, -0.27%  struggled a day after the European Central Bank decided to play hardball with Greece, saying the country couldn’t use its bonds as collateral. While Greek stocks went up in flames again, U.S. futures were taking a pass on getting overexcited.

Read: Investors flee Greek assets as ECB ramps up pressure on new government

Greece is not the word: It is clear U.S. markets were overreacting to Greece news on Wednesday, said Peter Garnry, head of equity strategy at Saxo Bank, in emailed comments. “Judging from the bond market, Greece is increasingly perceived by the market as an isolated case that will not spread to the rest of Europe, which ultimately is weakening Greece’s cards against Europe and the ECB.”

He said upbeat U.S. leading indicators and a slow uptick of growth in Europe should be encouraging for U.S. investors. Plus, “sustained lower energy prices are also bolstering retail sales and consumer confidence, which is net positive for risk appetite,” Garnry added.

There is no sign U.S. inflation is moving higher said Eric Rosengren, the president of the Boston Federal Reserve said in a speech in Frankfurt, Germany on Thursday. “A policy of patience in the United States continues to be appropriate,” he said.

Four pieces of data land at 8:30 a.m. Eastern time: weekly jobless claims, the December trade deficit, and productivity data and unit labor costs for the fourth quarter. The size of the trade deficit will give investors and economists a clue about whether the U.S. really did dip below 3% growth in the fourth quarter. – MarketWatch Breaking News Bulletins

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