U.S. stock index futures indicated a higher open Wednesday, continuing a "risk-on" rally in global indexes after positive economic data, rising oil prices, and a new debt deal for Greece.
U.S. stocks posted their best day since March on Tuesday with gains of more than 1 percent, following encouraging reports on the housing market. But the positive news continued overnight with euro zone finance ministers agreeing with Greece and the International Monetary Fund (IMF) on what they called a "breakthrough" deal that will address Athens' requests for debt relief.
European stocks were trading higher on Wednesday morning with Asian shares also posting gains overnight.
"Anyone tiring of the sideways moves in equity indices should be thrilled. We have finally broken out of the range and despite some technical signals to the contrary, the move has been to the upside," Brenda Kelly, the head analyst at London Capital Group, said in a note.
"Yesterday's surprisingly good new home sales data out of the U.S. was something of a catalyst – but I would not rule out this being a temporary squeeze before the next leg down for U.S. indices."