Traders on the floor of the NYSE
Stock futures slipped Tuesday after a key debt ceiling meeting between President Joe Biden and House Speaker Kevin McCarthy.
Futures tied to the Dow Jones Industrial Average fell 45 points, or 0.1%. S&P 500 futures and Nasdaq-100 futures pulled back by 0.1% each.
McCarthy and Biden met at the White House Monday evening, in a discussion that the House speaker described as “productive” and “professional.” These latest talks – taking place with just 10 days until June 1, the earliest date that the U.S. could default – seemed to have a more positive tone following the hourlong discussion.
“The president and I know the deadline, so I think we’re going to talk every day… until we get this done,” McCarthy said, noting that both teams would “come back together and work through the night” on a compromise.
Investors have been closely eyeing debt-limit negotiations in Washington, hoping for more certainty as the so-called X-date of June 1 draws closer.
“Certainly, the debt ceiling’s been weighing on investors,” said Phillip Colmar, partner and global strategist at MRB Partners. “It’s probably an 11th-hour deal, but if it is earlier than that, I think that would be encouraging.”
The meeting follows a mixed session for Wall Street as investors followed the latest updates out of resumed debt ceiling negotiations. The Dow lost about 0.4%, while the S&P 500 finished little changed. The Nasdaq Composite advanced 0.5%. The tech-heavy index touched its highest intraday level and highest close since August.
On the economic front, investors will follow data on the manufacturing and services sectors as well as new home sales.
—CNBC’s Christina Wilkie contributed to this report.