Stock futures are looking to open higher on Friday with growing optimism on the trade talks between the U.S. and China, along with a domestic retail sales number that exceeded expectations. President Trump calmed the markets Thursday by tweeting, “It is expected that China will be buying large amounts of our agricultural products.”
China’s Xinhua News Agency corroborated this Friday morning buy saying that “The Chinese government is encouraging companies to buy a certain amount of farm products including pork and soybeans and will exempt these goods from additional tariffs”. A measure of retail sales rose at a better-than-expected rate this month, this was led by sales from internet retailers, building materials and auto dealers. The Commerce Department reported today that retail sales rose .04% in August doubling the expected .02% gain.
Resistance is setting in at 302100 and 303300, with support being 300000 and 299000.