U.S. stock index futures moved higher on Sunday evening as investors looked ahead to a closely watched summit between President Donald Trump and Chinese President Xi Jinping in Washington later this week.
Market sentiment also received some support after Trump said he was open to meeting Iranian President Masoud Pezeshkian during the United Nations General Assembly in New York.
However, geopolitical risks remained elevated as tensions continued across the Middle East, particularly between Yemen’s Iran-backed Houthis and Saudi Arabia.
S&P 500 and Nasdaq Futures Move Higher
S&P 500 futures rose 0.35% to 7,739.50 points by 22:14 ET, or 02:14 GMT.
Nasdaq 100 futures gained 0.54% to 30,079.50 points, while Dow Jones futures advanced 0.27% to 52,220.0 points.
The gains followed a mildly positive session on Wall Street on Friday.
Technology shares, particularly semiconductor stocks, recovered some of their earlier losses after coming under heavy pressure at the beginning of last week.
Anthropic Reportedly Delays IPO
Artificial intelligence company Anthropic also remained in focus after a Wall Street Journal report said the company had postponed its planned initial public offering from October to November.
The delay could allow Anthropic to provide investors with its third-quarter financial results before moving forward with the listing.
Those results are expected to offer further insight into how the company is performing amid growing competition in the artificial intelligence industry.
Previous reports indicated that Anthropic could seek a valuation of around $2 trillion.
Separately, Reuters reported that the company is preparing to launch a new AI model before its planned IPO. The model is expected to compete with OpenAI’s Astra platform.
U.S.-China Trade Talks Begin Ahead of Trump-Xi Summit
Investors were also encouraged by the start of fresh trade discussions between U.S. and Chinese officials ahead of this week’s Trump-Xi meeting.
U.S. Treasury Secretary Scott Bessent said on Sunday that he was meeting Chinese Vice Premier He Lifeng in New York before the summit.
Bessent struck a relatively positive tone regarding the upcoming negotiations.
Trump and Xi are scheduled to meet in Washington on Thursday. The visit will mark Xi’s first state visit to the United States during Trump’s second term.
Trump had previously visited Beijing earlier this year.
Tariffs and AI Expected to Dominate Talks
Trade relations between the United States and China remain strained, making tariffs one of the most important topics expected to be discussed during the summit.
The two leaders are also expected to address artificial intelligence development and regulation.
Washington’s tariffs on Chinese goods will likely remain a central issue, particularly with the current U.S.-China trade truce due to expire in early November.
Markets will closely watch for any indication that the agreement could be extended or that further progress could be made on trade policy.
Trump Open to Meeting Iran’s President
Middle East developments also remained a major factor for financial markets.
The United States and Iran exchanged fresh warnings over the weekend after Yemen’s Iran-backed Houthi movement intensified its military campaign against Saudi Arabia.
Despite the heightened tensions, Trump told a Fox News reporter that he was open to meeting Iranian President Masoud Pezeshkian during the United Nations General Assembly in New York.
At the same time, Trump warned that Iran could face severe economic and political consequences if it failed to reach an agreement with Washington.
Iran, meanwhile, warned that any new U.S. military attack would trigger sustained retaliation.
Houthi Attacks Add to Middle East Risks
The latest tensions followed missile and drone attacks launched by the Houthis toward Riyadh over the weekend.
The group has also continued operations affecting shipping around the strategically important Bab el-Mandeb Strait.
According to a New York Times report, Trump declined Saudi requests for direct U.S. military action against the Houthis.
The report said the U.S. president was concerned about creating another front in the broader conflict involving Iran.
Oil prices were volatile late on Sunday as traders assessed the latest geopolitical developments.
For investors, attention this week is likely to remain centered on the Trump-Xi summit, U.S.-China trade negotiations, developments in artificial intelligence and the risk of further escalation in the Middle East.
