The major U.S. index futures are currently pointing to a lower open on Thursday, with stocks likely to give back ground after moving notably higher over the past few sessions.

Traders may look to cash in on the recent strength in the markets, which saw the Nasdaq and the S&P 500 nearly offset the sell-off seen last week.

Lingering concerns about the outlook for interest rates may also weigh on the markets after the Federal Reserve recently signaled it plans to cut rates less than previously estimated last year.

Overall trading activity is likely to be relatively, subdued, however, with many traders likely to remain away from their desks following the Christmas Day holiday on Wednesday.

On the U.S. economic front, he Labor Department released a report showing first-time claims for U.S. unemployment benefits unexpectedly edged slightly lower in the week ended December 21st.

The report said initial jobless claims slipped to 219,000, a decrease of 1,000 from the previous week’s unrevised level of 220,000. Economists had expected jobless claims to rise to 224,000.

In an abbreviated Christmas Eve session, stocks moved sharply higher over the course of the trading day on Tuesday. The major averages all showed strong moves to the upside, extending the upward move seen over the two previous sessions.

The major averages saw further upside going into the close, ending the session at their best levels of the day. The Dow advanced 390.08 points or 0.9 percent to 43,297.03, the Nasdaq surged 266.24 points or 1.4 percent to 20,031.13 and the S&P 500 jumped 65.97 points or 1.1 percent to 6,040.04.

The strength on Wall Street came as traders continued to pick up stocks at relatively reduced levels following last week’s sell-off, which saw the Dow and the S&P 500 tumble to their lowest levels in over a month.

Stocks may also have benefitted from ongoing optimism about the outlook for the markets even after indications the Federal Reserve plans to cut interest rates less than previously estimated next year.

The extent of the upward move may have been exaggerated by below average volume, as many traders remained away from their desks ahead of the Christmas Day holiday on Wednesday. The markets also closed earlier than usual on the day, which likely kept some traders on the sidelines.

A lack of major U.S. economic data may also have contributed to light trading, as the release of reports on durable goods orders and new home sales was pushed forward to Monday after President Joe Biden signed an executive order closing the federal government for Christmas Eve.

Brokerage stocks turned in some of the market’s best performances on the day, driving the NYSE Arca Broker/Dealer Index up by 1.7 percent.

Significant strength was also visible among retail stocks, as reflected by the 1.5 percent gain posted by the Dow Jones U.S. Retail Index.

Networking, computer hardware and banking stocks also saw notable strength moving higher along with most of the other major sectors.

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