Stocks - U.S. Futures Rise as China Offers to Buy American Agricultural Goods
Wall Street was set to open higher on Wednesday on trade optimism after China reportedly offered to buy an additional $10 billion worth of U.S. agricultural goods in a peace offering ahead of high-level trade talks in Washington this week.
China is open to a limited deal as long as no more tariffs are imposed, Bloomberg reported. A deal still remains uncertain, as President Donald Trump has said he is not interested in a short- term deal and higher tariff duties are still scheduled to take effect later this month and in December.
Nasdaq 100 futures rose 79 points or 1.1% by 6:48 AM ET (10:48 GMT), while Dow futures rallied 205 points or 0.8% and S&P 500 futures were up 25 points or 0.9%.
Semiconductors, which are sensitive to trade news, were higher in premarket trade. AMD (NASDAQ:AMD) gained 1.6%, while NVIDIA (NASDAQ:NVDA) was up 1.3%. Tesla (NASDAQ:TSLA) rose 1.1% and Apple (NASDAQ:AAPL) inched up 1.3%.
Elsewhere, Johnson & Johnson (NYSE:JNJ) tumbled 1.8% after a court ordered the company to pay a Maryland a man $8 billion because its antipsychotic drug Risperdal caused him to grow enlarged breasts.
The Federal Reserve will release the minutes from its latest policy meeting at 2:00 PM ET (18:00 GMT).
In commodities, crude oil futures gained 0.9% to $53.11 a barrel. Gold futures were up 0.3% to $1,507.85 a troy ounce, while the U.S. dollar index, which measures the greenback against a basket of six major currencies, fell 0.1% to 98.730.