Wall Street futures gain as deadline for fresh stimulus looms

FILE PHOTO: The Wall Street sign is pictured at the New York Stock exchange (NYSE) in the Manhattan borough of New York City, New York, U.S.

U.S. stock index futures rose on Tuesday on expectations that Washington lawmakers would be able to settle their differences for an economic stimulus bill to pass before the Nov. 3 presidential elections.

House of Representatives Speaker Nancy Pelosi and Treasury Secretary Steve Mnuchin will talk again on Tuesday, after a 53-minute telephone conversation on Monday “continued to narrow their differences” about the coronavirus aid package, a Pelosi spokesman said on Twitter.

Uncertainty over the fiscal stimulus weighed on Wall Street’s main indexes on Monday, with analysts expecting market turbulence to increase with only two weeks left until Election Day.

Meanwhile, third-quarter earnings season gathered momentum with companies including property and casualty insurer Travelers Cos Inc TRV.N, consumer products giant Procter & Gamble Co PG.N and jet maker Lockheed Martin LMT.N scheduled to report results before the bell.

Of the 50 S&P 500 companies that have reported results, 86% have topped expectations for earnings, according to Refinitiv IBES data.

Netflix Inc NFLX.O added 0.9% in premarket trading as investors awaited the stay-at-home winner’s membership additions in the third quarter.

International Business Machines Corp IBM.N edged past estimates for quarterly revenue, bolstered by higher demand for its cloud services. IBM shares, however, fell 2.9% after the company stayed away from issuing a current-quarter forecast, citing economic uncertainty related to the COVID-19 pandemic.

At 06:17 a.m. ET, Dow E-minis 1YMcv1 rose 0.50% to 28,241 points and S&P 500 E-minis EScv1 were up 0.58% to 3,442.5 points. Nasdaq 100 E-minis NQcv1 gained 0.63% to 11,723 points.

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