Futures Rise as Euro Markets Recover

NEW YORK (TheStreet) -- Stock futures were trading higher on Wednesday following a recovery in European markets.

Futures for the Dow Jones Industrial Average were higher by 37 points at 10,340 and were 43 points above fair value. Futures for the S&P 500 were up by 4 points at 1095 and were 4 points above fair value, and Nasdaq futures were up by 9 points at 1867 and were 11 points above fair value.

Stocks snapped a four-day winning streak on Tuesday on renewed concerns about eurozone banks after a report that European Union stress tests failed to fully account for potential risky holdings held by lenders.

Global markets continued to show signs of weakness on Wednesday. Asian markets closed lower as the yen touched a 15-year high against the dollar. Japan's Nikkei shed 2%, while Hong Kong's Hang Seng slid 1.5%.

European markets started off lower but were displaying a recovery in later trading as investors tried to shrug off worries about the health of European banks. The FTSE in London was rising by 0.3%, and the DAX in Frankfurt was trading higher by 0.5%, even as data pointed to slowing exports.

Investors will be looking for cues in the Federal Reserve's beige book, due at 2 p.m. EDT, for a closer look at economic conditions across the Fed's 12 regional districts. The survey will be used as a reference at the Federal Open Market Committee's upcoming meeting on Sept. 21.

At 3 p.m. ET, the Fed will also report on July consumer credit, which is expected to decline by $5.25 billion after shedding $1.3 billion in June, according to Briefing.com.

President Obama is also expected to unveil new proposals to boost the economy at a speech in Cleveland, including one that would allow companies to hasten write-offs on new plants and equipment through 2011.

Hewlett-Packard(HPQ) and Oracle(ORCL) are likely to remain in the spotlight as the Mark Hurd saga continues. On Tuesday, Oracle named the former HP CEO as co-president, sending its shares higher. Soon after the news brokeHewlett-Packard filed a lawsuit against Hurd for breach of contract.

Reacting to the move, Oracle CEO Larry Ellison said the HP lawsuit was "vindictive" and that it would impact their working relationship.

The stock of Hewlett-Packard was losing 1%, or 42 cents, to $39.51 in premarket trading while Oracle was heading slightly higher by 0.5%, or 12 cents, to $24.38.