Published: 09:32, October 1, 2025
US stocks close higher ahead of possible federal gov't shutdown
By Xinhua

NEW YORK - US stocks advanced on Tuesday as investors braced for the possibility of the first federal government shutdown in nearly seven years.

The Dow Jones Industrial Average rose 0.18 percent to 46,397.89. The S&P 500 added 0.41 percent to 6,688.46. The Nasdaq Composite Index increased 0.3 percent to 22,660.01.

Seven of the 11 primary S&P 500 sectors ended higher, with health and technology leading the gainers by rising 2.45 percent and 0.86 percent, respectively. Meanwhile, energy and consumer discretionary led the laggards by dropping 1.07 percent and 0.55 percent, respectively.

US lawmakers have until 12:01 am Eastern Time Wednesday to strike a last-minute deal on funding or trigger a stoppage, with the latest Polymarket prediction placing the odds on a government shutdown at about 94 percent.

Talks between congressional Republicans and Democrats on Monday ended without an agreement. "I think we're headed to a shutdown," US Vice- President JD Vance said after the talks.

For markets, the concern centers on the potential halt to government economic data releases.

The US Department of Labor has said the Bureau of Labor Statistics would "completely cease operations" during a shutdown.

In addition to the uncertainty, US President Donald Trump on Monday unveiled new tariffs on lumber, timber and some categories of furniture.

The move came after threats to levy duties on foreign-made movies and a plan to impose 100 percent tariffs on branded pharmaceuticals, stoking fears of wider economic fallout from the administration's escalating trade offensive.