Slower than Expected Job Losses May Bring About Relief Rally

The major U.S. index futures are pointing to a higher opening on Friday, with sentiment improving notably following the release of a report, which showed smaller than expected job losses for August. On a more upbeat note, the private sector added more jobs than economists had forecast. The initial euphoria may lift stocks sharply higher in early trading, although sustenance of the gains largely hinge on the results of the service sector survey of the Institute for Supply Management. That said, violation of key technical resistances could lead to further upside despite recent gains.