Wall Street moved higher overnight, pushing the Dow to a record high, while the US dollar also strengthened in anticipation of fresh stimulus from the European Central Bank on Thursday and a key American jobs report on Friday.
The latest private payrolls data offered evidence on strength in the US labour market, bolstering optimism for Friday's government report. Companies in the US added 208,000 workers in November, after a revised 233,000 increase in October, according to a report by ADP Research Institute on Wednesday.
"We're going to have another 200,000-plus payroll number if ADP is any indication, and unit labour costs should stay low," Jim Paulsen, chief investment strategist at Wells Capital Management, told Bloomberg News. "Put those two together and you have real growth without inflation. That's a recipe for a melt-up in the stock market."
The US Federal Reserve is set to release its Beige Book later today.
In afternoon trading in New York, the Dow Jones Industrial Average added 0.08 per cent, the Standard & Poor's 500 Index advanced 0.22 per cent, while the Nasdaq Composite Index gained 0.18 per cent. Earlier in the session, the Dow touched a record high 17,905.33.