US stock futures rose after reports indicated that Congress was close to reaching a deal to end the longest government shutdown in history.
All three major US stock indexes jumped after Wall Street suffered a sharp sell-off last week as investors sold off technology stocks.
Major technology stocks such as Nvidia Corporation, Apple Inc and Microsoft Corporation suffered a massive sell-off with Nvidia falling more than 7%.
The move was due to growing concerns about the possibility of a market bubble driven by the development of artificial intelligence (AI).
The S&P 500 index rose 0.4% to 6,782.25 points, the Dow Jones rose 0.3% to 47,230.0 points, while the technology-focused Nasdaq rose 0.6% to 25,314.50 points.
In other developments, a bill to end the government shutdown reportedly has sufficient support from Democrats, according to ABC News.
The US Senate is expected to hold a procedural vote on the temporary funding bill on Sunday evening.
According to ABC, the proposal is expected to gain enough support from Democrats to pass the approval stage.
The measure is intended to ensure government funding is approved until January 30 next year, according to a senior Democratic senator.
Meanwhile, reports of a possible breakthrough in Congress have encouraged investors as the US economy struggles with a government shutdown that has entered its 40th day due to a dispute over health care subsidies.
The federal government shutdown risks affecting activity across the country, especially in the airline sector, while adding to economic uncertainty as it delays the release of several key government data.
Investors are now worried that the shutdown will impact Gross Domestic Product (GDP) and thousands of federal workers are at risk of being laid off.
