Bonds & Stocks
Stocks rose on speculation that Washington leaders are nearing a deal to raise the debt ceiling and avoid a default. Traders are also waiting for any signals on the interest-rate path from Federal Reserve Chair Jerome Powell. The S&P 500 climbed above the closely watched 4,200 level, while heading toward its best week since March. About $1.7 trillion of derivatives contracts tied to stocks and indexes are scheduled to expire, according to data compiled by Goldman Sachs Group Inc. Treasury 10year notes dropped for a sixth straight day, with yields rising to 3.7%.
Economy
President Joe Biden urged his negotiators to keep pursuing a debt-limit deal after House Speaker Kevin McCarthy indicated that both sides may reach agreement as soon as this weekend to avoid a catastrophic US default. In a call early Friday from Japan, where he’s attending the Group of Seven summit, Biden told his hand-picked negotiating team in Washington that he’s confident Congress will act in time, according to a White House official.
World
International oil companies are searching for a way to settle a pair of multibillion dollar disputes with the government of Kazakhstan over operations at major oil fields, according to people familiar with the matter. Eni SpA, which has major stakes in the Kashagan and Karachaganak oil and gas projects that are the focus of the disputes, is playing a central role in the search for a resolution, the people said, asking not to be named because the information is private.