The major index futures are now pointing to a modestly higher open for the markets, with the Dow futures up by 21 points.
Stocks rose as market bulls saw a buying opportunity after the threat of North Korea pulled Wall Street lower for three days straight.
In his latest warning to North Korea, US President Donald Trump said on Friday military solutions were "fully in place" and referred to American weapons as being "locked and loaded" should the nuclear-armed nation act "unwisely".
"Of course it's all come at a time when share markets are due for a correction, so North Korea has provided a flawless trigger", he added.
His comments came in response to North Korea's threat to fire ballistic missiles toward the US territory of Guam, which is home to USA strategic bombers, a naval station and other strategic assets.
Trump continued the back-and-forth with a post on Twitter this morning indicating that the USA is prepared to take military action against North Korea.
Nevertheless, the geopolitical uncertainty looks set to continue, dealers said, following Trump's fresh warning Friday that the USA military is "locked and loaded" in the event of a misstep by the totalitarian state.
Mr Trump warned Kim Jong Un earlier this week that his country faced "fire and fury".
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A weaker-than-expected July consumer price data also supported the recovery.
The Labor Department said its consumer price index inched up by 0.1 percent in July after coming in unchanged in June.
The smaller than expected increase in consumer prices has led to optimism that the Federal Reserve will not be in a hurry to raise interest rates. Core prices had also been expected to climb by 0.2%.
If the North Korean regime "does anything" to the United States or a U.S. ally "things will happen to them like they never thought possible", he told reporters on Thursday, according to Bloomberg.
On average, the S&P 500 falls 5% or more every 10 weeks and the index falls 10% every 33 weeks, according to data analyzed by AllianceBernstein going back to 1928.
The rhetoric, which began late Tuesday and continued into Friday, interrupted stocks' march higher and cracked the calm that has enveloped the market for months. South Korea's Kospi fell 0.5 per cent. Australia's S&P/ASX 200 edged down almost 0.1 per cent. The Japanese markets were closed for a holiday.
The major European markets are also extending a recent move to the downside. While the German DAX Index closed just below the unchanged line, the U.K.'s FTSE 100 Index and the French CAC 40 Index both tumbled by 1.1 percent. Meanwhile, after jumping USD10.80 to USD1,290.10 an ounce in the previous session, gold futures are climbing USD6.50 to USD1,296.60 an ounce.
The Dow slid as declines in Apple and Goldman Sachs, down 2.3% and 1.7% respectively, outweighed gains in McDonald's and Coca-Cola, up 1.4% and 0.5% respectively.
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