May 01, 2013-Stocks Look to a Flat Open on Higher US Unemployment and S&P Record Highs

Wall Street is doggedly holding onto its optimism even as nervousness accentuates ahead of two key economic data on jobs and the manufacturing sector and the FOMC announcement. With markets pricing in no change in the Fed's monetary policy stance, assertion that the central bank will continue its bond purchase program as long as it is warranted could add to the optimism. Meanwhile, traders get to digest another batch of earnings reports from companies, including Dow component Merck. Despite confidence in policy hopes and preservation of the economic momentum, the overbought levels of the markets pose a valid downside risk. The Dow futures are moving up 3 points, the S&P 500 Index is adding 1.60 points and the Nasdaq 100 futures are advancing 2.50 points. Despite seeing weakness in the morning, U.S. stocks recovered and ended Tuesday's session higher, as traders focused on a positive consumer confidence reading and overlooked some disappointing earnings. On the economic front, automakers are scheduled to release their monthly sales results for April. Economists expect auto sales for the month to come in at a seasonally adjusted annual rate of 15.3 million, flat with last month.