On Wednesday, American stock index futures headed south because dismal data out of China affected market sentiment, while traders waited for more developments related to the US-China trade conflict…
Asian equities rally with China-US trade negotiations in focus
On Friday, Asian equities surged because market sentiment got better on a report that more progress has been achieved in US-China trade negotiations and after British lawmakers decided to postpone a potentially chaotic departure from the European bloc.
However, the prospect of the trade negotiations taking longer than anticipated tamed the cheer. Additionally, there was still no clarity on how close the world’s two leading economies are on making a deal.
On Thursday, Mnuchin told that a summit to seal a trade agreement between the two leading countries won’t occur at the end of March as previously anticipated because more work is required in talks.
MSCI index of Asia-Pacific stocks managed to rally by about 0.5%.
As for the Shanghai Composite Index, it headed north by nearly 1.3%.
Japan's Nikkei went up by 1%, while South Korea's KOSPI went up by 0.9%.
Overnight, global markets drew some relief, with EU equities soaring to a five-month maximum, underpinned by strength in the banking sector right after the UK parliament denied a disorderly Brexit.
However, the S&P 500 went down by 0.1%, snapping a three-day winning marathon, while the Nasdaq dived by 0.2% in the wake of uncertainty as for when a US-China trade agreement would be reached.
Meanwhile, in the Forex market, the UK pound stood still, sticking with $1.3237. On Thursday, the UK pound rebounded 0.75% because traders geared up for UK Prime Minister Theresa May to another try and gain approval for her Brexit agreement.
As for the evergreen buck, it held profits having snapped its four-day losing marathon to a bunch of its six key rivals.
The US currency managed to extend yesterday’s profits, soaring by 0.1% and trading at 111.84 yen.
On Wednesday, Italian stocks led losses in the European Union right after the country's deputy prime minister told that Rome considers breaking EU fiscal rules, thus masking early revenue powered by optimism around the US-China trade conflict…
On Tuesday, another US-China tariff conflict escalation put pressure on Asian stocks, although remarks from American leader that he expects trade talks to be successful backed market sentiment…
On Monday, gold declined notwithstanding a lower American currency because data underpinned hopes for a Fed interest rate lift…
On Friday, European stock indices fluctuated at the beginning of the trading session…
The Reserve Bank of New Zealand will hold a meeting at 00:00 MT time on August 9.