S&P futures vs fair value: +5.3. Nasdaq futures vs fair value: +6.0.

Still shaping up to be solid start for stocks as both S&P 500 and Nasdaq 100 futures trade well above fair value. The resurgence in M&A activity, which helped so many indices hit record levels last quarter, continues to be the main catalyst behind this morning's improved underlying tone. It is also worth noting, though, that the early favorable bias also comes on the first trading day of a new month/quarter, which is typically a strong day for stocks as new fund inflows hit the market.