- Treasuries and US stock futures showed hopes that Congress will enact a debt-reduction agreement to avoid a default, as the White House and Republican congressional leaders increased their lobbying in favour of the agreement.
- Near-maturity Treasury bills rallied in Asian hours as trading resumed Tuesday after the US markets were closed for Memorial Day. More broadly, Treasury yields declined across the curve on debt dated from 5 years to 30 years.
- Contracts on the S&P 500 and the Nasdaq 100 increased 0.3% and 0.4%, respectively. European futures recorded minor gains, but Asian equity markets were divided.
- The dollar, which has benefited from the uncertainty around the statutory borrowing limit, dipped marginally, with a greenback index lying well below the 2-month high achieved last week.
