U.S. stock index futures rose on Tuesday after China further eased its Covid-19 restrictions, raising expectations of a recovery in the world’s second-largest economy.
China said it would no longer require travelers arriving in the country to go into quarantine from Jan. 8, an important step in reopening its borders, adding it would also lower the severity of Covid-19 as it has become less contagious.
Shares of US-listed Chinese companies such as JD.Com Inc, Alibaba Group Holding, Pinduoduo Inc rose 2.5% to 3% in pre-market trading.
With just a few sessions left this year, investors are hoping for a so-called “Santa rally” at the end of what has been a rather disappointing month for US equities.
The S&P 500 and the Nasdaq are down 5.8% and 8.5% respectively in December so far and are on track for the biggest annual losses since the 2008 financial crisis on fears that the Federal’s aggressive monetary tightening Reserve could lead the US economy into a recession.
Economic data so far offers little hope that the Fed will curb its rate hikes, with a report last week showing inflation has cooled further, but not enough to discourage the US central bank from pushing rates higher. higher next year.
Trading volumes have remained low as investors returned from a long weekend, while the economic data calendar is also light this week with home sales data and jobs reports available.
Dow Jones futures were up 0.62%, S&P 500 futures were up 0.65% and Nasdaq 100 futures were up 0.56%.
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Source: Terra
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
