U.S. stock futures rose Tuesday, after lawmakers reached a deal to prevent a government shutdown and optimism grew over a potential trade deal between the U.S. and China.
How are major indexes faring?
Dow Jones Industrial Average futures YMH9, +0.58% rose 132 points, or 0.5%, to 25,147, while S&P 500 futures ESH9, +0.56% added 13.7 points, or 0.5%, to 2,722. Nasdaq-100 futures NQH9, +0.72% jumped 45.5 points, or 0.7%, to 6,959.50.
On Monday, the Dow Jones Industrial Average DJIA, -0.21% fell 53.22 points, or 0.2%, to 25,053.11, while the S&P 500 SPX, +0.07% rose 1.92 points to 2,709.8, and the Nasdaq Composite Index COMP, +0.13% gained 0.1% to 7,307.90.
Read: Morgan Stanley warns of a looming earnings recession
What’s driving the market?
Democratic and Republican lawmakers said late Monday that a deal has been reached to avert another damaging government shutdown. Desperate to avoid the repeat of such a scenario, GOP negotiators agreed to a border-security deal that will involve far less money for President Donald Trump’s border wall than the White House wanted.
The tentative deal, which involves 55 miles of new border fencing, still requires approval from Trump, who told a rally in El Paso, Texas that “progress is being made with this committee.” He added: “Just so you know, we’re building the wall anyway.”
Trade negotiations entered a second day Tuesday in Beijing, with Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer are due to arrive Thursday for more high-level discussions. A 12:01 a.m. Eastern time March 2 deadline is looming for an agreement to be struck between the two countries.
How are other markets trading?
In Asia, the Nikkei 225 index returned from a holiday to jump 2.6%, while the Shanghai Composite rose 0.6%, and most other indexes rose. Stoxx Europe 600 SXXP, +0.85% futures indicated a stronger open for stocks there.
Crude oil CLH9, +0.55% was modestly higher, while gold GCH9, +0.21% is higher and the U.S. dollar DXY, -0.06% is holding steady.
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