Futures edge higher on debt talks optimism

U.S. stock index futures edged higher on Monday on optimism over a likely deal to raise the U.S. debt limit as a deadline edged closer, while investors awaited comments from Federal Reserve policymakers through the week.

President Joe Biden said over the weekend he expects to meet with congressional leaders on Tuesday and remained optimistic about agreeing on a deal to raise the nation’s $31.4 trillion borrowing limit.

The months-long standoff in Washington has added to global economic worries, as a new non-partisan congressional report cited “significant risk” of a historic default within the first two weeks of June.

“There is some hope forming around the Hill at the start of the week that real progress may finally be made in reaching an agreement on the U.S. debt ceiling,” said Clifford Bennett, chief economist at ACY Securities.

At 6:52 a.m. ET, Dow e-minis were up 125 points, or 0.37%, S&P 500 e-minis were up 16 points, or 0.39%, and Nasdaq 100 e-minis were up 38 points, or 0.28%.

This report’s information was first seen on REUTERS; to read more, click this link.