U.S. stock index futures rose Tuesday after the Biden administration and Republican lawmakers reached a tentative deal on raising the U.S. debt ceiling. S&P 500 futures gained 0.6%, while Nasdaq-100 futures climbed 1.3%. Futures tied to the Dow Jones Industrial Average traded near flat. President Joe Biden and House Majority Leader Kevin McCarthy reached an agreement to raise the debt ceiling and avoid a default over the weekend, with Congress set to vote on the legislation as early as Wednesday. Lawmakers have not signaled that they intended to return to Capitol Hill early to work on the deal. Both Republican and Democratic support is needed for the bill agreement to pass. “Although the upcoming votes in Congress still pose a small risk, the main risk had been that political pressures would prevent a deal from coming together,” wrote Goldman Sachs economists in a note. “Now that a deal has been reached, it seems very likely to pass both chambers of Congress in the coming week.” The agreement comes just days before the so-called “X date” on June 5, which is the earliest date the Treasury Department has signaled the U.S. could default on debt obligations. The initial compromise was first announced on Saturday evening. The long negotiations between the White House and congressional leaders raised concern among investors that a default on U.S. debt could take place. Wall Street has already contended with persistent inflation and a banking crisis this year. Futures were also helped by a nearly 5% premarket rally by semiconductor maker Nvidia. The artificial intelligence-related stock is set to exceed a $1 trillion market cap — an elite marker surpassed by just a handful of stocks — after shares jumped following its strong earnings report last week. Stocks closed higher on Friday. The Nasdaq Composite and S&P 500 finished last week with gains. The market was closed Monday due to Memorial Day. Investors will also turn their attention to May jobs data out on Friday, while the April Job Openings and Labor Turnover Survey from the Bureau of Labor Statistics will be released on Wednesday. Corporate earnings from HP Inc and Salesforce are due on Tuesday and Wednesday, respectively. Asia-Pacific markets are mixed on Tuesday with a vote looming ahead on the tentative U.S. debt ceiling deal reached between President Joe Biden and House Majority Leader Kevin McCarthy over the weekend, avoiding a default for the U.S. economy. In Japan, the Nikkei 225 closed 0.30% higher at 31,328.16 to continue hitting its highest levels in 33 years, but the Topix fell marginally to end at 2,159.22. Japan saw its unemployment rate come down slightly to 2.6% in April from 2.8% in March. In Australia, the S&P/ASX 200 inched down 0.11% to close at 7,209.3, snapping a three-day winning streak. South Korea’s Kospi returned from a public holiday and climbed 1.04% to close at 2,585.52, its highest level in almost a year, while the Kosdaq saw a gain of 0.98% to end at 851.5. Mainland Chinese markets ended higher on Tuesday, with the Shanghai Composite marginally higher at 3,224.21 and the Shenzhen Component up by 0.44% to end at 10,869.55 and rebound from its lowest level since November 2022. Hong Kong stocks snapped a four day losing streak as the Hang Seng Index rose 0.1% in its final hour of trade and the Hang Seng Tech index saw a bigger gain of 1.24%. Oil fell Tuesday as concerns about the U.S. debt ceiling pact cooled the market’s risk-on sentiment and mixed messages from major producers clouded the supply outlook ahead of their meeting this weekend. Brent crude futures fell $1.19, or 1.5%, to $75.88 a barrel. U.S. West Texas Intermediate (WTI) crude was down 85 cents, or 1.2% to $71.82 a barrel. There was no settlement on Monday because of a U.S. public holiday. Gold prices bounced back from their lowest level in more than two months on Tuesday as the dollar backtracked from highs, while lingering concerns over U.S. debt ceiling negotiations has kept investors on edge and rekindled demand for safe-haven bullion. Spot gold rose 0.8% to $1,958.79 per ounce after hitting its lowest since March 17. U.S. gold futures were up 0.7% to $1,976.7.