The US government shutdown appears close to resolution after the Senate passed a deal, with the bill now awaiting a vote in the House of Representatives. Markets cheered the development, sending the S&P 500 up 1.5%, nearly erasing last week’s losses.
Gold surged 2.8% on Friday and added another 0.7% today to trade at $4,150 an ounce, extending gains as investors continue to bet on the “debasement trade” amid expectations of increased fiscal spending.
Elsewhere, Switzerland is reportedly close to an agreement with the US to reduce tariffs on exports from 39% to 15%, in what could mark another sign of easing trade tensions.
In corporate news, SoftBank has sold a $5.8 billion stake in Nvidia to raise funds for further investments in artificial intelligence ventures. Meanwhile, LVMH is said to be resuming store openings in China as the country’s luxury market rebounds from a prolonged slowdown.
With US bond markets closed for Veterans Day, equity trading volumes are expected to be lighter. After a pause in Asia—where Tokyo and Hong Kong traded flat—European stocks are up about 0.5%, while US futures point to a slightly negative open following last week’s strong rebound.