Stocks are indicated sharply higher following a day of steady trading in Europe equity markets and a sharp rally in the euro Thursday. Less than thirty minutes before the opening bell on Wall Street, stock index futures hint at a triple digit early gain for the Dow Jones Industrial Average.

European markets are steady Thursday. While Germany’s DAX is up .2 percent and France’s CAC 40 gained .4 percent, UK’s FTSE is flat. Meanwhile, the euro is seeing a sharp rally, gaining .0108 to 1.2088 against the dollar. The rally in the euro and the low volatility in Europe’s equity markets are helping lift stock index futures, as it eases some of the recent concerns about problems in euro-zone debt markets.

The domestic news includes a worse-than-expected reading on weekly jobless claims, which slipped to 456K last week, from 459K the week before and not as much as the 450K that economists had expected. Separately, it was reported that the US Trade Balance was $40.3 billion in April, up from $40 billion the month before and less than the $41.3 billion deficit expected by economists.

However, most of the focus remains on events across the Atlantic and stock index futures are tracking the euro. Crude oil is also getting a lift, up $1 to $75.28 a barrel.

However, gold and bonds are lower, as players exit the “flight-to-safety” trade. Gold is down $6.2 to $1223.60 an ounce and the benchmark ten-year Treasury bond lost 12/32nd and now yields 3.22 percent.

Meanwhile, BP shares jumped nearly 10 percent after plunging yesterday on bankruptcy fears. The oil giant said it saw no justification for the big drop in shares, but admitted that the cost of the spill has risen to $1.32 billion.