Wall St set to open lower ahead of debt ceiling deal vote

U.S. stock indexes were set to open lower on Wednesday as a deal to raise the nation’s debt ceiling headed for a pivotal vote by lawmakers, while another round of earnings highlighted the pinch of higher prices being felt by corporate America.

A bill to lift the $31.4 trillion U.S. debt ceiling and achieve new federal spending cuts made its way to the House of Representatives for debate on Tuesday and an expected vote on passage is due later on Wednesday.

House passage would send the bill to the Senate, where debate could stretch to the weekend, as a June 5 deadline loomed.

“All signs point to the deal getting done but there’s headlines about some Congress people who are against it,” said Joe Saluzzi, co-manager of trading at Themis Trading. “Until that deal gets done, there will be a little bit of nervousness.”

The debt ceiling debate has been an overhang for financial markets, but signs of progress have pushed the S&P 500 (.SPX) and the Nasdaq (.IXIC) indexes toward monthly gains in May. The Nasdaq was on track for its best performance in May since 2020, rising 6.5%.

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