Major averages posted solid gains Thursday, improving January’s first half gains. The Dow Jones Industrial average rose 29.78, or 0.3 percent, to 10,710.55. The broader Standard & Poor’s 500 index advanced 2.78, or 0.2 percent, to 1,148.46, and tech led the way as the Nasdaq composite index climbed 8.84, or 0.4 percent, to 2,316.74. Tech was the leader as INTC reported after the bell, while financials advanced before JPM’s premarket earnings release.

Morning Outlook

Futures on the street are heading lower on Friday. Despite JPM winning on the bottom line, the market seems to have expected to be impressed. Dow Jones industrial average futures are down 22, or 0.2 percent, at 10,641. Standard & Poor’s 500 index futures are down 3.20, or 0.3 percent, at 1,142.00, while Nasdaq 100 index futures are up 0.25, or less than 0.1 percent, at 1,888.50. Tech is higher following INTC reporting after the closing bell yesterday.

The street is also awaiting a consumer readings to try to close out the week on a positive note. This rally has been amazing to start 2010, and truly caught me by surprise. There is a difference between beating the street and quality earnings, so lets see how things unfold as earnings season progresses.

Three day weekend coming up, as the market will be closed for Martin Luther King Day!

On the Corporate Front

JPMorgan Chase (JPM) blew past Wall Stret estimates in the premarket. During the final quarter of 2009, the company saw earnings of $3.28 billion. JPM earned 74 cents per share, above analyst estimates of 61 cents. On the top line however, revenue rose 32% to $25.23 billion; below estimates of $26.81 billion in revenue.

Economic Calendar

8:30 AM
Consumer Price Index (CPI): Measure of the average price level of a fixed basket of goods and services purchased by consumers. Monthly changes in the CPI represent the rate of inflation. The consensus is for a 0.1% increase in December, with a 0.1% gain excluding food and energy. This follows a 0.4% rise in November.

9:15 AM
Industrial Production: The index of industrial production measures the physical output of the nation’s factories, mines and utilities. The consensus is for a production increase of 0.6% for the month of December; following a 0.8% advance in November with a strong showing by the manufacturing component.

9:55 AM
Consumer Sentiment: Consumer sentiment is directly related to the strength of consumer spending, by questioning 500 households each month on their financial conditions and attitudes about the economy. The consensus first reading for January is 74, up from the prior reading of 72.5. Equities have been rising, improving household wealth, while the housing market is shaky at best, but improvement is seen on that front. Jobless claims have fallen, but overall we are seeing higher prices at the pump and 15 million unemployed, with a 17.4 percent real unemployment rate.