Futures Rise as Debt Talk Optimism Grows

Traders work on the floor of the NYSE in September 2022
Traders work on the floor of the NYSE in September 2022. Photo by John Angelillo/UPI/Shutterstock (13395680f)

U.S. stocks rose on Monday as investors become increasingly optimistic that U.S. lawmakers would reach a consensus to raise the U.S. debt ceiling as a means of avoiding an unprecedented default.

Dow Jones e-minis were up 108 points, or 0.32%, while S&P 500 e-minis rose 15.5 points, or 0.37%. Nasdaq 100 e-minis were up 44.5 points, or 0.33%.

President Joe Biden confirmed that he is due to meet with Congressional leaders on Tuesday, adding that he is confident that the parties involved will be able to reach an agreement to raise the nation’s $31.4 trillion borrowing limit.

“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 US debt ceiling,” Clifford Bennett, chief economist at ACY Securities added.

In addition to the ongoing debt ceiling discussion, investors are also eagerly anticipating the release of retail earnings, housing data, and the weekly jobless claims report later this week.