U.S. Stock Futures Rise With Mexican Peso Amid Debate; Yen Falls

(Bloomberg) -- U.S. stock index futures reversed losses, while Mexico’s peso strengthened and the yen swung to a loss amid the first of three televised U.S. presidential debates.

Futures on the S&P 500 index gained 0.3 percent, while shares in Asia pared losses. Mexico’s peso rose more than 1 percent, rebounding from a record low, and the yen was the worst performer among major currencies. Oil fell before major producers meet Wednesday to discuss output curbs, while copper declined.

With the first of three U.S. presidential debates taking place late Monday New York time, a Bloomberg poll showed Donald Trump and Hillary Clinton were tied in a head-to-head contest. Citigroup Inc., which last month said victory for the Republican candidate could sink equities, warned that a Trump win may spur volatility in both gold and currency markets.

“The peso started the debate near its weakest levels but at least the first 30 minutes or so looks to have been taken as a Hillary win," said Sean Callow, a senior currency strategist at Westpac Banking Corp. in Sydney. "The peso, Canadian dollar, S&P futures and Australian dollar are all surging -- very much a relief rally in risk assets.”

--With assistance from Emma O'Brien Adam Haigh and Netty Ismail To contact the reporter on this story: James Regan in Hong Kong at jregan19@bloomberg.net. To contact the editors responsible for this story: James Regan at jregan19@bloomberg.net, Andreea Papuc

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