NEW YORK, May 30 — US stock index futures rose today as lawmakers tentatively agreed to raise the debt limit to avert a default, while shares of Nvidia led an early rally among chipmakers and AI-related firms.
US President Joe Biden and Republican House of Representatives Speaker Kevin McCarthy on Sunday signed off on an agreement to temporarily suspend the debt ceiling and cap some federal spending.
The US House Rules Committee said it will meet at 3:00 p.m. ET (1900 GMT), to discuss the debt ceiling bill.
A handful of Republican lawmakers have said they will oppose it, in a sign that the bipartisan agreement could face a rocky path through Congress.
Reflecting investor optimism, the cost of insuring exposure to a US debt default fell further on Tuesday, while yields on longer-dated US Treasuries fell.
Nvidia Corp gained 3.2 per cent in premarket trading after it said on Monday it was building Israel’s most powerful AI supercomputer to meet soaring customer demand for AI applications.
Shares of heavyweight AI-players including Microsoft Corp and Alphabet Inc rose about 1 per cent each.
Other chipmakers including Advanced Micro Devices Inc , Marvell Technology Inc and Intel Corp added about 3 per cent each.
At 5:00 a.m. ET, Dow e-minis were up 69 points, or 0.21 per cent, S&P 500 e-minis were up 19.5 points, or 0.46 per cent, and Nasdaq 100 e-minis were up 136.75 points, or 0.95 per cent. — Reuters
