US stock futures rose on Monday in light holiday volume, helped by plans from the world’s number-two economy to lift some restrictions as it fights COVID more aggressively than the rest of the world.
While US stock exchanges are closed in observance of Memorial Day, electronic futures trading continues.
Futures on the Dow Jones Industrial Average YM00
pink 264 points, gold 0.8% to 33422.
Futures on the S&P 500 ES00
gained 45 points, or 1.1%, to 4201.
Futures on the Nasdaq 100 NQ00
increased 194.25 points, or 1.5% to 12872.
On Friday, the Dow Jones Industrial Average DJIA
pink 576 points, gold 1.76%, to 33213, the S&P 500 SPX
increased 100 points, or 2.47%, to 4158, and the Nasdaq Composite COMP
gained 390 points, or 3.33%, to 12131.
What’s driving markets
Shanghai over the weekend said it would lift restrictions on businesses and offer tax rebates, and Beijing reopened some public transportation, signs of a loosening of the zero-COVID policies that have limited output in China.
“The easing is mainly an issue for domestic demand—Chinese exports continued to grow during the restrictions. However, some international companies produce in China for Chinese consumption, so the easing has relevance for some global equities,” said Paul Donovan, chief economist at UBS Global Wealth Management.
European-listed luxury producers that sell into China, including LVMH Moet Hennessy FR:MC,
advanced. The Shanghai Composite CN:SHCOMP
rose 0.6%, and the Hang Seng HK:HSI
rallied over 2% in Hong Kong.
There’s a big slate of US economic data on tap this week, including Wednesday’s release of the Institute for Supply Management manufacturing index, and Friday’s release of nonfarm payrolls.