Stocks ready to climb
Higher commodity prices and Supreme Court's clearance of Chrysler-Fiat deal could be catalyst for opening advance.
NEW YORK (CNNMoney.com) -- U.S. stock were set to open higher Wednesday after the Supreme Court cleared the way for Chrysler to exit bankruptcy and a rise in oil prices.
At 9:05 a.m. ET, Dow Jones industrial average, S&P 500 and Nasdaq 100 futures were higher, recovering from earlier lows.
Futures measure current index values against perceived future performance and offer an indication of how markets may open when trading begins in New York.
Art Hogan, chief market strategist at Jefferies & Co., said the potential rally is based on expectations for inflation in such "hard assets" as oil, which is now selling for more than $71 a barrel, as well as coal, steel, copper and natural gas.
Hogan said that inflation is "going to be a net positive for stocks with hard assets."
Chrysler-Fiat: The Supreme Court decided Tuesday to not hear an appeal from a group of Indiana pension funds aimed at blocking the deal that allows Chrysler to emerge from bankruptcy.
The decision clears the way for Chrysler to sell most of its assets to Italian carmaker Fiat.
Banks: The Obama administration dropped its plan to cap salaries at bailout recipient companies, and is expected to announce a compromise Wednesday, the Wall Street Journal reported.
Retail: Home Depot (HD, Fortune 500), the biggest home improvement retailer in the world, raised its earnings forecast to a range of flat to down 7%, compared to the prior guidance of a 7% decline. On an adjusted basis, the retailer now expects a decline of 20% to 26% in earnings per share from continuing operations, compared to the prior forecast of a 26% decline.
Economy: Readings on the trade balance, Treasury budget and the Fed's Beige Book of economic conditions, are on tap.
The government announced that the trade balance showed a deficit of $29.2 billion in April, just slightly more than the forecast from Briefing.com consensus of economist opinion. The deficit was influenced by higher oil prices.
Oil: Shares of oil firms are likely to be on the move amid the surge in oil prices. Crude prices climbed above $71 a barrel.
At 10:30 a.m. ET, the U.S. Energy Department is due to release its weekly report on fuel supplies.
World markets: In Asia, stocks rose. European shares rallied in midday trading.
Currency: The dollar rose versus the yen, but slipped against the euro and the British pound. 
