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Wall Street to open higher on Cyber Monday optimism, gains in oil





(Reuters) – Wall Street was set to open sharply higher on Monday, following a steep sell-off in the previous session, buoyed by easing oil prices and hopes of a robust sales in the holiday season.

Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., November 23, 2018. REUTERS/Brendan McDermid

Shoppers who missed out on deals this past Black Friday are expected to flock to online sites on Cyber Monday, giving retailers a strong start to their make-or-break holiday season.

Shares of e-commerce giant Inc (AMZN.O) jumped 2.1 percent and eBay Inc (EBAY.O) gained 1.9 percent in premarket trading.

Other retailers, including Best Buy Inc (BBY.N), Walmart Inc (WMT.N) and Target Corp (TGT.N), also rose around 1 percent each.

“We had a pretty miserable week in terms of the equity markets and sometimes you get a relief rally, markets could be bouncing a little bit based on that,” said Randy Frederick, vice president of trading and derivatives for Charles Schwab in Austin, Texas.

“I think the anticipation ahead of the holidays is that it would be a pretty strong season and black Friday is a big part of that.”

Wall Street’s main indexes fell more than 3 percent last week, with the Dow and the Nasdaq posting their biggest weekly percentage declines since March, on plunging oil prices, worries about slowing global growth and peaking corporate earnings.


The S&P 500 on Friday closed 10.2 percent lower from its record closing high on Sept.20, confirming a correction for the second time in the year.

At 8:37 a.m. ET, Dow e-minis 1YMc1 were up 239 points, or 0.99 percent. S&P 500 e-minis ESc1 were up 28.25 points, or 1.07 percent and Nasdaq 100 e-minis NQc1 were up 97.5 points, or 1.49 percent.

Oil prices rose, paring some its losses from the near-7 percent fall on Friday, lifting Dow components Exxon Mobil Corp (XOM.N) up 0.9 percent and Chevron Corp (CVX.N) 1.0 percent.

Other members of the so-called FAANG group also rose, with shares of Facebook Inc (FB.O), Apple Inc (AAPL.O), Netflix Inc (NFLX.O) and Google-parent Alphabet (GOOGL.O) gaining between 1 percent and 2 percent.

Also on the forefront of investors’ minds is the G20 summit this week, where U.S. President Donald Trump and his Chinese counterpart Xi Jinping are expected to hold trade talks in Buenos Aires, Argentina.

Among other stocks, Nvidia Corp (NVDA.O) rose 2.7 percent after Credit Suisse initiated coverage on the chip designer’s shares with an “outperform” rating and said the recent weakness in shares provide a compelling entry point.

Smaller rival Advanced Micro Devices also gained 3.2 percent.

Reporting by Amy Caren Daniel in Bengaluru; Editing by Arun Koyyur