3 months ago
Stock Market

Stocks - U.S. Futures Rise After U.S. and China Agree to Trade Ceasefire

Investing.com - U.S. futures surged higher on Monday, with the Dow on track to rise more than 400 points

Investing.com - U.S. futures surged higher on Monday, with the Dow on track to rise more than 400 points at the open after the U.S. and China agreed to a 90-day ceasefire in their trade war.

The S&P 500 futures rose 44 points or 1.61% to 2,802.75 as of 6:40 AM ET (11:40 GMT) while Dow futures gained 464 points, or 1.82%, to 26,004. Meanwhile tech heavy Nasdaq 100 futures increased 162 points, or 2.33%, to 7,111.25.

U.S. President Donald Trump and Chinese President Xi Jinping agreed at the G20 summit on Sunday to hold off on increasing tariffs as the two continue trade talks.

Trump agreed to not raise tariffs on more than $200 billion of Chinese goods from 10% to 25%, while Xi agreed to buy more American goods.

Apple (NASDAQ:AAPL) stocks were among the biggest gainers in premarket trading, rising 3.66%, while semiconductor Advanced Micro Devices (NASDAQ:AMD) jumped 5.87% and Micron (NASDAQ:MU) gained 6%. Tesla (NASDAQ:TSLA) was up 3.71% amid news that its expanding its electric charging routes in Canada and Amazon.com (NASDAQ:AMZN) increased 4.54%.

Elsewhere the United States Steel Corporation (NYSE:X) fell 2% while Kirklands (NASDAQ:KIRK) was down 2.40%.

In economic news, manufacturing PMI data comes out at 9:45 AM ET (14:45 GMT), with construction spending and light vehicle sales released at 10:00 AM ET (15:00 GMT).

On the central banking front, Federal Reserve Governor Randal Quarles will speak about the economic outlook and monetary policy at 8:00 AM ET (13:00 GMT), while Fed New York President John Williams (NYSE:WMB) speaks at 9:15 AM ET (14:15 GMT), and Fed Governor Lael Brainard delivers a speech later in the day.

In commodities markets, gold futures increased 0.65% to $1,234.00 a troy ounce while crude oil futures increased 4.22% to $53.08 a barrel.

The U.S. dollar index which measures the greenback against a basket of six major currencies, fell 0.19% to 97.10.