Day trading pre-market open May 10

Morning traders. Thanks loungers, especially @Ravgnome.

Good to be back after whatever that was yesterday. I gave up trying to access the site.


Outlook for the day: Positive after the Dow extends its longest win streak since December and key commodities rebound.

ASX futures: up 23 points or 0.3%


Overnight themes:

• US stocks rally as an increase in claims for unemployment benefits advances the case for interest rate cuts.
• The Dow climbs 0.85% to a seventh straight gain, the average's longest win streak since December. The S&P 500 climbs 0.51% to its strongest close in a month. The Nasdaq's two-session losing run ends with a bounce of 0.27%.
• The night's gains lift the major indices back towards all-time highs as last month's rates scare continues to abate. Stocks fell through April as sticky inflation data and strong economic reports prompted some investors to ask whether further hikes might be ahead.
• "We've almost had a full recovery of that" - Brad Bernstein, managing director at UBS Private Wealth Management (per Reuters).
• Sentiment has improved in recent sessions amid signs that higher rates are finally having an impact on the labour market. Overnight, a report shows 231,000 Americans filed for unemployment benefits last week. Economists had anticipated claims of 215,000. Last night's report follows data last week showing softer-than-expected April jobs growth and a three-year low in employment vacancies.
• Treasury yields retreat after an auction attracts solid bids. The yield on 10-year US treasuries falls further below 4.5%, two weeks after trading as high as 4.7%.
• “As long as bond yields aren’t threatening, it’s a green light. The Fed and the bond market have given a green light together to buy risk, or continue to buy risk” - MRB Partners global strategist Phillip Colmar (per CNBC).
• Rate-sensitive sectors outperform. Real estate gains 2.31%. Utilities adds 1.52%. Also strong are energy +1.36%, materials +1.08% and industrials +0.92%. Tech is the only sector to miss the upswing, falling 0.26% as Nvidia and other chip-makers slide.
• A retreat in the US dollar aids dollar-denominated commodity prices. Copper and nickel rise on the London Metal Exchange. The Bloomberg Commodity Index rallies 0.4%.

Key events today:

• US consumer sentiment - tonight

S&P 500: up 26 points or 0.51%

Dow: up 331 points or 0.85%

Nasdaq: up 44 points or 0.27%

Dollar: up 0.64% to 66.17 US cents

Iron ore (Dalian): down 0.73% to US$118.69

Brent crude: up 30 US cents or 0.36% to US$83.88

Gold: up US$18 or 0.78% to US$2,340.30

NYSE Arca Gold Bugs: up 2.43%

Bitcoin: down 0.92% to US$62,456

Copper (LME): up 0.46% to US$9,950

Nickel (LME): up 0.93% to US$19,075

Uranium (spot price): up 1.35% to US$94.25

Lithium carbonate (China spot): down 0.38% to US$15,432

Global X Lithium & Battery Tech ETF: up 2.04%

BHP: up 1.1% (US); down 0.04% (UK)

Rio Tinto: up 1.42% (US); up 1.01% (UK)