Stocks Hovering In Positive Territory In Morning Trading - U.S. Commentary

(RTTNews) - Stocks have moved moderately higher in morning trading on Friday after ending the previous session roughly flat. With the upward move, the Nasdaq and the S&P 500 have reached their best intraday levels in about a month.

In recent trading, the major averages have moved roughly sideways, hovering in positive territory. The Dow is up 30.17 points or 0.2 percent at 17,858.46, the Nasdaq is up 19.48 points or 0.4 percent at 4,921.25 and the S&P 500 is up 5.05 points or 0.2 percent at 2,095.15.

The strength on Wall Street partly reflects the upward momentum seen earlier in the week, when the major averages climbed well off their worst levels in about two months.

Traders are also reacting to the latest U.S. economic data, including a Commerce Department showing stronger than previously estimated first quarter GDP growth.

The report said the pace of GDP growth in the first quarter was upwardly revised to 0.8 percent from the initial estimate of 0.5 percent.

Nonetheless, the revised GDP growth in the first quarter compares to the 1.4 percent jump seen in the fourth quarter and the 0.9 percent increase expected by economists.

A separate report from the University of Michigan showed a modest downward revision to its consumer sentiment index for May, although the index was still at an eleven-month high.

Trading activity has remained somewhat subdued, however, as traders look ahead to remarks by Federal Reserve Chair Janet Yellen.

At 1:15 pm ET, Yellen is scheduled to speak with Harvard Professor Gregory Mankiw and receive an award from the Radcliffe Institute for Advanced Study.

Traders are likely to closely scrutinize Yellen's remarks for any hints regarding whether the Fed intends to raise interest rates at its meeting next month.

Electronic storage stocks have shown a strong move to the upside on the day, driving the NYSE Arca Disk Drive Index up by 1.6 percent. The index is rebounding following the pullback seen on Thursday.

Biotechnology, internet, and airline stocks are also seeing some strength, while notable weakness is visible among gold and steel stocks.

In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Friday. Japan's Nikkei 225 Index rose by 0.4 percent, while Hong Kong's Hang Seng Index advanced by 0.9 percent.

Meanwhile, the major European markets are turning in a lackluster performance on the day. While the German DAX Index is up by 0.1 percent, the French CAC 40 Index is down by 0.1 percent and the U.K.'s FTSE 100 Index is just below the unchanged line.

In the bond market, treasuries are seeing modest weakness following the notable upward seen in the previous session. Subsequently, the yield on the benchmark ten-year note, which moves opposite of its price, is up by 1.4 basis points at 1.837 percent.