US pre-open: Futures point slightly higher

Wall Street futures were pointing to slight gains at the opening bell despite the release of a much weaker-than-expected reading for factory sector activity in the New York State area.

Helping to steady investor sentiment were positive headlines around the ongoing debt ceiling talks, although analysts were cautious, especially regarding the timing of any agreement.

Against that backdrop, as of 1353 BST Dow Jones mini futures were advancing by 59 points to 33,414.0, alongside a 8.0 rise for those tracking the S&P 500 to 4,146,0.

Nasdaq-100 mini futures were yo 21.0 points at 13,417.25.

In remarks made overnight, Lael Brainard, the head of the US National Economic Council, said that talks thus far had been "serious" and "constructive", even as she added that a debt default would be "catastrophic" for the economy.

President Joe Biden was to meet the Republican speaker of the U.S. House of Representatives, Kevin McCarthy, on Tuesday, ahead of the former's departure on the following day for the G-7 summit in Japan.

"I remain optimistic because I'm a congenital optimist," Biden said.

"But I really think there's a desire on their part as well as ours to reach an agreement and I think we’ll be able to do it."

In other economic news, the Federal Reserve Bank of New York's regional factory index dropped sharply, from a reading of 10.8 for April to -31.8 in May (consensus: -4.0).

Sarepta Therapeutics was a standout gainer ahead of the open after the Food and Drug Administration narrowly backed accelerated approval of its therapy against the Duchenne Muscular Dystrophy.

The shares were climbing by over 26%.

NRG Energy was gaining 7% after activist investor Elliot disclosed a $1bn stake in the company.