Stock Market Today: Futures Rise as Trump-Xi Summit and Iran Tensions Take Focus

TLDR

• U.S. stock futures rose Monday after the Dow posted its third straight losing week.
• S&P 500 futures gained about 0.5%, Nasdaq 100 futures rose around 0.7%, and Dow futures added roughly 0.4%.
• Investors are watching Thursday’s meeting between President Donald Trump and Chinese President Xi Jinping.
• Oil prices moved lower despite renewed Middle East tensions, while the 10-year Treasury yield remained near 5%.
• The Federal Reserve raised rates by 25 basis points last week, keeping monetary policy in focus.

U.S. stock futures moved higher Monday as investors turned their attention to U.S.-China trade talks, Middle East tensions and the outlook for interest rates.

S&P 500 futures gained around 0.5%, while Nasdaq 100 futures rose about 0.7%. Dow futures climbed roughly 0.4%.

The move followed a difficult week for the Dow Jones Industrial Average, which fell about 1.7% and recorded its third consecutive weekly decline.

The S&P 500 slipped roughly 0.1% last week, while the Nasdaq Composite gained about 0.7%.

Trump-Xi Summit Moves Into Focus

Markets are watching Thursday’s planned meeting between U.S. President Donald Trump and Chinese President Xi Jinping in Washington.

In New York City, Vice Premier He Lifeng and I are continuing our discussions on the U.S.-China economic and trade relationship ahead of @POTUS’ historic summit with President Xi in Washington. These talks help lay the groundwork for President Trump to advance America’s economic… pic.twitter.com/phmF11Aoxi

— Treasury Secretary Scott Bessent (@SecScottBessent) September 20, 2026

China’s Foreign Ministry confirmed that Xi will visit the United States from September 23 through September 25.

Trade, tariffs, artificial intelligence, critical minerals and other economic issues are expected to feature in the discussions. Reuters reported that extending the current trade truce is likely to be one of the main topics.

Treasury Secretary Scott Bessent met Chinese Vice Premier He Lifeng in New York before the summit.

The two officials discussed trade and a possible AI safety notification system between the U.S. and China.

Asian markets also moved higher Monday.

MSCI’s Asia-Pacific index excluding Japan gained about 0.9%, while technology shares in South Korea and Taiwan helped lead the advance.

Middle East Tensions Keep Oil in Focus

Investors are also monitoring the Middle East after Yemen’s Iran-backed Houthis claimed missile and drone attacks on Riyadh over the weekend.

Saudi Arabian and other Gulf markets declined Sunday following the attacks.

Despite the geopolitical tensions, oil prices moved lower Monday.

Brent crude fell around 2%, extending recent declines as markets assessed reports of stronger oil flows from the Gulf and the possible restoration of Saudi supply infrastructure.

Lower oil prices provided some relief for equity markets because energy costs have been contributing to inflation concerns.

The Federal Reserve’s outlook remains closely tied to inflation and the direction of oil prices.

Fed Policy and Treasury Yields Remain Key

The Federal Reserve raised its benchmark interest rate by 25 basis points last week to a range of 3.75% to 4.00%.

It was the central bank’s first rate increase since July 2023.

Treasury yields remain elevated following the move.

The 10-year Treasury yield has been trading close to 5%, while markets continue to price the possibility of further Fed tightening later this year.

Technology shares have held up better than the broader market, with chip stocks recovering after weakness earlier last week.

Monday’s rise in futures continues that pattern, with Nasdaq futures outperforming Dow futures before the opening bell.

Investors will now watch developments in the Middle East, comments from Federal Reserve officials and Thursday’s Trump-Xi summit as markets begin a new week.