Source: The Canadian Press

North American stock markets appeared headed for a higher open on Thursday as a string of economic data was expected to show that the U.S. economic recovery remained on track.

In New York, the Dow Jones industrial futures gained 36 points to 10,268, the S&P 500 futures were ahead 4.6 points to 1,101.3 while the Nasdaq futures gained 4.25 points to 1,883.25.

The Canadian dollar was down a slight 0.02 of a cent to 96.28 cents US.

Key reports from the U.S. jobs market, service industry and manufacturing sectors were expected to provide the tone for the session.

Payroll company ADP reported that private employers added 55,000 jobs in May, about 5,000 short of expectations. That compares with 32,000 jobs added in April. The report comes a day ahead of the U.S. Labour Department’s key jobs data. ADP data is often considered a barometer for the strength of the government’s report.

Canadian employment data for May is also being released on Friday.

Other data is expected to show fewer Americans filed for jobless claims for the first time last week. The U.S. Labour Department is expected to say initial claims for unemployment benefits fell to 450,000 last week from 460,000 a week earlier.

A key report on the service sector is expected to show growth for fifth straight month. The Institute for Supply Management’s service sector index likely crept higher to 55.5 in May from 55.4 a month earlier, according to economists polled by Thomson Reuters. Any reading above 50 indicates growth.

Another report is expected to show that U.S. factory orders rose 1.8% in April after climbing 1.1% in March.

At the same time, U.S. retailers are reporting tepid business in May amid cool weather and fresh concerns about the economy.

The reports follow a lacklustre April and underscores how fragile the economic recovery remains.

A mix of stores found business challenging during the month. Department store chain Stage Stores Inc. and teen merchant Wet Seal Inc. both are reporting declines in revenue at stores open at least a year. Costco Wholesale Corp. is reporting a gain slightly below Wall Street expectations.

The resource-heavy TSX could see a mixed performance from the commodities sectors.

The July crude contract on the New York Mercantile Exchange gained 53 cents to US$73.39 a barrel.

However, bullion prices slipped with the August gold contract on the Nymex down $5.20 to US$1,217.40 an ounce. And the July copper contract in New York moved down three cents to US$3.01 a pound.

The TSX and the Dow Jones industrial average both jumped about 200 points Wednesday, sparked in large part by an upbeat report on U.S. pending home sales which raised hopes that the housing market is turning around.

The advance also helped Asian stocks move higher, though Chinese shares were dogged by worries about an economic slowdown in the country.

“For the time being an air of opportunism does seem to be washing over the market with equities looking a little on the cheap side,” said Ben Potter, research analyst at IG Markets in London.

In Asia, Japan’s benchmark Nikkei 225 stock index climbed 3.2%, South Korea’s Kospi gained 1.7% and Hong Kong’s Hang Seng was 1.8% higher. The exception in Asia was the benchmark Shanghai Composite Index, which fell 0.7%.

London’s FTSE 100 index gained 1.72%, Frankfurt’s DAX was up 1.73% and the Paris CAC 40 was ahead 1.99%.