U.S. stock futures rose Monday on optimism that talks for additional fiscal stimulus are progressing and that the rollout of Covid-19 vaccines could help stem the pandemic.
Futures tied to the S&P 500 ticked up 0.8%, indicating that the broad-market index may edge higher after the New York opening bell. Contracts tied to the Nasdaq-100 Index gained 0.6%.
U.S. lawmakers on Sunday signaled a growing willingness to compromise on the most contentious issues that have held up the passage of a fresh coronavirus-relief package in recent months. Leadership from both parties indicated they might look to passing a narrower spending bill. Investors are betting that a deal will be struck, and the additional spending will help bolster the economic rebound.
“In the U.S., it is all about fiscal policy,” said Justin Onuekwusi, head of retail multiasset funds at Legal & General Investment Management. “The markets have priced some of this in and believe it is going to happen.”
Pfizer started shipping its Covid-19 vaccine in the U.S., dispatching trucks from a Michigan plant. Inoculations could begin as soon as Monday. That is bolstering optimism that rising infection levels may be checked in coming months, prompting an end to restrictions on social and business activity. An end to lockdowns would improve the outlook for companies whose operations have been disrupted this year by the pandemic.