All You Need To Know Going Into Trade On October 7

Asian stocks rose Thursday after progress on the U.S. debt-ceiling impasse lifted equities on Wall Street.

Shares advanced in Japan, Australia and South Korea, while U.S. futures also climbed. The S&P 500 and Nasdaq 100 erased losses of more than 1% to close with gains on a possible deal to boost the debt ceiling into December. That would alleviate the immediate risk of a default but leave the political fight simmering in Washington.

The Singapore-traded SGX Nifty, an early indicator of India’s Nifty 50 Index’s performance, rose 0.77%, to 17,766.50, as of 7:30 a.m.

Further aiding sentiment, President Joe Biden plans to meet virtually with Chinese President Xi Jinping before the end of the year, and Russia offered to ease Europe’s energy crunch. Meanwhile, the European Central Bank is studying a new bond-buying program to prevent any market turmoil when emergency purchases get phased.

The yield on the U.S. 10-year Treasury note edged up. Investors are continuing to weigh the economic recovery against inflation risks from a jump in energy costs. ADP employment data beat expectations and a robust U.S. nonfarm payrolls report Friday could cement predictions of a reduction in Federal Reserve stimulus starting next month.

Crude oil retreated from a seven-year high in the wake of growing U.S. inventories and after Russia’s signal. In cryptocurrencies, Bitcoin jumped above $55,000. Chinese markets are shut for a holiday and reopen on Friday.