S&P 500 futures are gaining ground in premarket trading as traders stay ready to buy stocks near all-time high levels.
The stock market will be closed on Thursday, November 25 in observance of the Thanksgiving Day, followed by a shortened trading session on Friday, November 26.
Trading volumes typically decline during this week, but it remains to be seen whether traders will be ready to get away from their screens as S&P 500 is trading near highs despite worries about high inflation and lockdowns in Europe.
Today, traders will also have a chance to take a look at Existing Home Sales report which is expected to show that Existing Home Sales decreased by 1% month-over-month in October.
WTI Oil Loses Momentum As Traders Stay Cautious
WTI oil has recently made an attempt to settle above $76.50 but lost momentum and declined towards $75.50. Traders remain worried about the negative impact of the latest developments in Europe.
At this point, it is not clear whether Germany will follow Austria’s example and impose a full national lockdown due to the high number of new coronavirus cases, but this scenario remains a major source of worry for the oil market.
Energy-related stocks developed strong downside momentum on Friday, and this segment will likely remain under pressure at the start of today’s trading session.
Gold Remains Under Pressure
Gold has recently managed to get below the support level at $1845 and is moving towards the next support which is located at the 20 EMA at $1830.
The yield of 2-year Treasuries has moved closer to yearly highs while the U.S. Dollar Index is trying to settle above the resistance at yearly highs at 96.25. Stronger dollar and higher yields serve as bearish catalysts for gold, while demand for safe-haven assets is not strong enough to provide support to precious metals.
In this environment, gold mining stocks will remain under pressure at the beginning of today’s trading session.