Stocks set to rise as optimism around US-China trade increases

U.S. stock index futures were higher Tuesday morning as hope around U.S.-China trade talks increased.

Around 7:25 a.m. ET, Dow Jones Industrial Average futures indicated a gain of 88 points at the open. Futures on the S&P 500 and Nasdaq 100 also pointed to solid gains. 

Bloomberg News reported China granted new waivers to several companies exempting them from tariffs on at least 2 million tons of U.S. soybeans. The report added some companies have already bought about 1.2 million tons of soybeans.

Treasury Secretary Steven Mnuchin also confirmed trade talks between the world’s two largest economies would resume next month. In an interview with Fox Business Network, Mnuchin said negotiators from the U.S. and China had made some progress in last week’s deputy-level meetings.

The dispute between Washington and Beijing has dragged on for well over a year, battering financial markets and souring business and consumer sentiment.

Apple, which has large exposure to the Chinese market, rose 0.9% in the premarket. Caterpillar and Boeing, two trade bellwethers, gained 0.5% and 0.4%, respectively.

On the data front, Philadelphia Fed nonmanufacturing figures for September will be released at around 8:30 a.m. ET. The S&P/Case-Shiller’s home price index for July, consumer confidence data for September and Richmond Fed surveys will all follow slightly later in the session.

In corporate news, Autozone, Carmax, and BlackBerry are among some of the companies set to publish their latest earnings before the opening bell.

Nike, Cintas, and Synnex are set to release their latest quarterly results after market close.

This entry was posted in China, Markets, Stocks, Tariffs, Trade, Wall Street. Bookmark the permalink.

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