Stock futures are little changed as traders await Tuesday debt ceiling negotiations: Live updates
[ad_1]
Traders work on the floor of the New York Stock Exchange during morning trading on April 10, 2023 in New York City.
Michael M. Santiago | Getty Images
U.S. stock futures were little changed on Monday evening, as all eyes on Wall Street turn to a Tuesday meeting between congressional leaders and President Joe Biden.
Futures tied to the S&P 500 slipped 0.04%, while Nasdaq 100 futures inched lower by 0.05%. Dow Jones futures lost 15 points, or 0.04%.
Investors are anxiously awaiting progress on a deal to raise the debt ceiling before June 1, which is the earliest date the Treasury Department has said the U.S. could default on its debt obligations. Treasury Secretary Janet Yellen said last week that a lack of a deal could spur an "economic catastrophe."
On Monday, Yellen reaffirmed that the U.S. faced the possibility of default as early June 1, the so-called "X date," if a deal isn't reached between the White House and Congress.
"Waiting until the last minute to suspend or increase the debt limit can cause serious harm to business and consumer confidence, raise short-term borrowing costs for taxpayers, and negatively impact the credit rating of the United States," Yellen said.
"In fact, we have already seen Treasury's borrowing costs increase substantially for securities maturing in early June," she added.
Biden echoed a more optimistic view of the ongoing negotiations over the weekend, while House Speaker Kevin McCarthy, R-Calif., said significant obstacles still remain.
"We're entering some potentially treacherous waters, and we're likely to get very close to the brink before a deal comes together," Christopher Gahan, vice president of government relations for Northwestern Mutual, said in a Monday note.
Biden has so far maintained that raising the debt ceiling is non-negotiable. McCarthy, however, has pushed for talks to broker a deal to raise the debt ceiling be tied to spending cuts.
Stocks closed higher during regular trading Monday, with the 30-stock Dow breaking five-consecutive sessions of losses. The tech-heavy Nasdaq Composite led the charge with a 0.66% gain while the S&P 500 added 0.3%.
In economic data, April's retail sales are due at 8:30 a.m. ET on Tuesday, giving investors a peek into how consumers are faring. Economists polled by Dow Jones are anticipating an increase of 0.8%.
An array of central bank officials is slated to speak. Federal Reserve Vice Chair for Supervision Michael Barr will go before the House Financial Services Committee at 10 a.m. in a hearing entitled "Oversight of Prudential Regulators." Separately, Fed Presidents Raphael Bostic of Atlanta, John Williams of New York and Austan Goolsbee of Chicago will appear at events.
Investors can also look toward a tranche of consumer staples reporting earnings this week. Home Depot, Target and Walmart report quarterly results on Tuesday, Wednesday and Thursday, respectively.
-CNBC's Christina Wilkie contributed reporting.
Comments
Post a Comment