Global markets rose following signs of progress in Washington to end a record government shutdown that has stalled economic data releases and intensified concerns over the state of the U.S. economy.

The U.S. Senate last night moved forward on a measure aimed at reopening the federal government and ending a now 40-day shutdown that has sidelined federal workers and snarled air travel.

Optimism buoyed Wall Street futures: Dow futures were up 0.4 per cent, S&P 500 futures climbed 1 per cent and Nasdaq futures were 1.5 per cent higher as of 5:45 a.m. ET.

TSX futures followed sentiment higher as commodity prices climbed.

In Canada, investors are getting results from Barrick Mining Corp., Premium Brands Holdings Corp. and K92 Mining Inc.

On Wall Street, markets are watching earnings from CoreWeave Inc., Occidental Petroleum Corp., Tyson Foods Inc. and Paramount Skydance Corp.

“A possible end to the longest running U.S. shutdown is a positive for markets. Our expectation is that the next step is for a House vote on Wednesday, with the government set to re-open this Friday,” said Prashant Newnaha, senior Asia-Pacific rates strategist at TD Securities.

Overseas, the pan-European STOXX 600 was up 1.41 per cent in morning trading. Britain’s FTSE 100 gained 0.96 per cent, Germany’s DAX advanced 1.76 per cent and France’s CAC 40 climbed 1.44 per cent.

In Asia, Japan’s Nikkei closed 1.26 per cent higher, while Hong Kong’s Hang Seng rose 1.55 per cent.

Oil prices rose on optimism that a possible end to the U.S. government shutdown could soon lift demand in the world’s top oil consumer, offsetting concerns about rising supplies globally.

Brent crude futures rose 0.79 per cent to US$64.13 a barrel. West Texas Intermediate (WTI) crude traded at US$60.28 a barrel, 0.89 per cent.

U.S. lawmakers’ first step in ending the shutdown helped the return of risk appetite to markets, PVM analyst Tamas Varga said.

Analysts were concerned about the impact from flight cancellations on U.S. jet fuel demand. Airlines canceled more than 2,800 U.S. flights and delayed more than 10,200 yesterday in the worst day for disruptions since the start of a U.S. government shutdown.

In other commodities, spot gold limbed 2 per cent to US$4,078.45 an ounce. U.S. gold futures for December delivery rose 1.9 per cent to US$4,087.10 an ounce.

The Canadian dollar strengthened against its U.S. counterpart.

The day range on the loonie was 71.08 US cents to 71.42 US cents in early trading. The Canadian dollar was up about 0.16 per cent against the greenback over the past month.

The U.S. dollar index, which weighs the greenback against a group of currencies, rose 0.07 per cent to 99.67.

The euro declined 0.06 per cent to US$1.1560. The British pound gave back 0.05 per cent to US$1.3155.

In bonds, the yield on the U.S. 10-year note was last up at 4.130 per cent.

China CPI, PPI, aggregate yuan financing and new yuan loans

10:30 a.m. ET: Bank of Canada’s Market Participants Survey for Q3.

4:30 p.m. ET: Speech and fireside chat with Finance Minister François-Philippe Champagne on the federal budget at the Calgary Chamber of Commerce.

With Reuters and The Canadian Press