September 16, 2013- Market Sentiment Improves as Investors Optimistic on Reduced Stimulus Tapering

Sentiment on Wall Street seems to have improved further on Monday, as the major index futures point to a notably higher opening. With Larry Summers opting to stand out of the contention for the Fed chief's post, traders may be a lot relieved that large scale withdrawal of stimulus is not in the offing. Earlier in the day, Asian stocks closed mostly higher and the European markets are also trading notably higher. The markets may also react to a duo of reports on the manufacturing sector due before the markets open. The Dow futures are trading up 168 points, the S&P 500 futures are advancing 18.80 points and the Nasdaq 100 futures are gaining 33.75 points. U.S. stocks extended their gains in the week ended September 13, with the markets reacting to some solid Chinese economic data, mitigation of fears concerning the Syrian crisis and wishful thinking that the Fed may not act in haste when it comes to the withdrawal of stimulus. The unfolding week's economic events are likely to be headlined by the FOMC meeting and the Chairman's post-meeting press conference. Traders may also focus on the New York and the Philadelphia Federal Reserves' manufacturing surveys for September, the Federal Reserve's industrial production report for August, the National Association of Home Builders' housing market index for September, the jobless claims report and the National Association of Realtors' existing home sales report for August.