U.S. Futures Lifted on News of Trade Talks

U.S. futures pointed to gains on Wall Street at the open on Tuesday amid reports that China and the U.S. are moving ahead with trade talks.

Chinese Vice Premier Liu spoke to U.S. Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer in a call on Tuesday morning, China’s commerce ministry said.

A proposal to reduce tariffs on cars made in the U.S. to 15 percent from the current 40 percent has been submitted to China’s Cabinet to be reviewed in the coming days, according to people familiar with the matter. Shares of carmakers including Daimler AG, Ford Motor Co. and Tesla Inc. rose on the news.

The step hasn’t been finalized and could still change. While reversing the retaliatory duty is a major climb-down by Beijing, it could re-focus the two sides toward implementing the trade-war truce agreed earlier this month. Relations have since been shaken by the arrest of Huawei Technologies Co. Chief Financial Officer Meng Wanzhou in connection with sanctions violations.

Top gainers in premarket are:

Entera Bio (NASDAQ:ENTX) stock skyrocketed 27.50% after the company announced a strategic research collaboration with Amgen (NASDAQ:AMGN) to focus on inflammatory disease and other serious illnesses.

АТ&T (T.US) is up with 1.4%

Zynga (ZNGA.US) trade with 2.4% on green.

Home Depot (HD.US) inches with 0.9%

AMD (AMD.US) adds  1.7% while Мicron (MU.COM)is with upraise of 1.1%

Twitter (TWTR.US) gains 1.3% in premarket

On the economic front,  PPI  data for November should give a better picture of the rate of inflation.

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