U.S. stock index futures opened higher following a strong move in Europe overnight. Light volume and the lack of bullish news have held these markets in a range throughout the day. Much of the rally was triggered by better than expected news regarding the Euro Zone economy and increased demand for higher risk assets. U.S. Housing and PPI data didn’t quite live up to expectations.

September Treasury Bonds have been trading flat to lower throughout the morning. Greater demand for higher yielding assets is helping to put pressure on the Treasuries.

The U.S. Dollar is under pressure. U.K. inflation came out as expected. This helped ignite a short-covering rally following several days of weakness. News that German investor confidence increased more than expected is helping to boost the September Euro.

December Gold is trading higher as it recovers from several days of losses. Traders are adjusting their positions because of the weakness in the U.S. Dollar.

September Crude Oil is trading higher because of the weaker Dollar. News that the Euro Zone economy is improving is leading to speculation of higher demand for crude oil. A firmer stock market after a few days of weakness is also encouraging buying