Global shares rally, bond yields rise as China fuels trade deal hopes

Open this

Stocks in Asia tracked a US rally after China indicated it wouldn't immediately retaliate against the latest American tariff increase. Still, consumer spending remained robust, topping forecasts.

"The U.S. consumer is strong, but if they lose confidence and slow their spending that would be negative for the U.S. picture, which is now the outlier - remaining strong while the rest of the world is slowing", said Chris Zaccarelli, chief investment officer for Independent Advisor Alliance.

"If you take away the trade war, you take away the worries", said Brent Schutte, chief investment strategist with Northwestern Mutual Wealth Management Co.

Nikkei 225 futures rose 0.2% in Singapore.

On Wall Street, the Dow Jones Industrial Average rose 328.53 points, or 1.26 per cent, to 26,364.63, the S&P 500 gained 37.07 points, or 1.28 per cent, to 2,925.01 and the Nasdaq Composite added 116.32 points, or 1.48 per cent, to 7,973.21.

The Stoxx Europe 600 Index rose for a second day.

Some signals analysts track point to higher yields, although no one knows when the shift is coming.

Mnuchin said he thinks it would be more effective if the U.S. Treasury intervened in conjunction with both the Federal Reserve and U.S. allies, Bloomberg said. Some investors have hedged against a possible USA rate rise by reducing holdings of long-term bonds and grabbing other fixed-income products such as private debt and structured credit. Bond prices move in the opposite direction of yields.

More news: More vaping illnesses reported, many involving marijuana

Washington and Beijing are deadlocked in talks over USA complaints about China's trade surplus and industrial plans, which its trading partners say are based on stealing or pressuring companies to hand over technology. Italian stocks rose almost 2% and the country's government bonds also rallied, with yields on 10-year bonds hitting a record low.

Trump's about-turn Monday from his harsh trade rhetoric against China last week helped soothe investor sentiment this week, buoying risk assets and pulling bond yields higher briefly.

Investors were encouraged by a Chinese government statement Thursday that its penalties on US products are adequate.

Negotiators meet next month in Washington after the latest round of talks in July in Shanghai produced no sign of progress.

USA crude settled 1.67 per cent higher at US$56.71 a barrel, while Brent settled at US$61.08 a barrel, up 0.98 per cent.

The dollar fell to 106.25 Japanese yen from 106.62 yen on Thursday.

Among commodities, spot gold XAU= last fell 0.73% to trade at $1,527.60 per ounce.

The bad economic news sent US stock indexes tanking Tuesday afternoon despite Monday's rally, but stocks closed the day with gains on Wednesday.

Related News:

  • Redmi Note 8 Unboxing/ Hands-on Pictures in all its glory

    Redmi Note 8 Unboxing/ Hands-on Pictures in all its glory

    Chinese Yuan converted directly, here, RMB 1,399, to United States dollars , means this smartphone's base cost is less than $200. Xiaomi is also selling a version of the Black Shark gamepad attachment for the Redmi Note 8 Pro , retailing for 179 yuan (~$25).
    India’s GDP growth slows to 5%, more stimulus expected

    India’s GDP growth slows to 5%, more stimulus expected

    Next in line were the usual suspects of agriculture and mining sectors, which grew at a dismal 2 and 2.7 per cent respectively. The National Statistical Office on Friday will release India's economic growth figures for the April-June quarter of 2019-20.
    Dhoni absent from India's T20 squad to face Proteas

    Dhoni absent from India's T20 squad to face Proteas

    It couldn't be ascertained whether the selectors spoke to Dhoni about his availability for the home series against South Africa. India's World Cup winning captain and legendary glovesman has yet missed out on another series post the world cup.
  • J'accuse: #MeToo storm swirls as Polanski premiers Dreyfus Affair film

    J'accuse: #MeToo storm swirls as Polanski premiers Dreyfus Affair film

    With that said , many think that the figure and how it's position might have something to do with Jolie and their relationship. Polanski fled to France in 1978, convinced a judge was going to scrap his plea deal and send him to prison for decades.
    Neymar trains amid Barca deal reports but out of PSG's next tie

    Neymar trains amid Barca deal reports but out of PSG's next tie

    Time is of the essence and the two clubs remain open to doing a deal and closing the transfer before Monday's deadline. When asked how bored of the saga he was out of ten, the Barcelona coach replied: "about a nine and a half".
    Microsoft Tests a New Windows 10 Tablet Experience

    Microsoft Tests a New Windows 10 Tablet Experience

    Microsoft's blog post notes that the cloud download option doesn't now work when "specific optional features aer installed". To see the full release notes with all the improvements for this insider build, you can read Microsoft's blog post.
  • Chandrayaan’s 3rd lunar-bound orbit exercise performed

    Chandrayaan’s 3rd lunar-bound orbit exercise performed

    The second manoeuvre was performed on August 21 as planned after the spacecraft was inserted into the lunar orbit on August 20. He added that four more manoeuvres will be carried out to achieve the perigee and apogee of 100 km X 100 km on September 1.
    Federal judge blocks Missouri’s 8-week abortion ban

    Federal judge blocks Missouri’s 8-week abortion ban

    Constitution would protect a pregnant woman's liberty to choose to have an abortion without excessive government restriction. He highlighted the importance of assisting women in hard pregnancies and pointed to pro-life clinics in the St.
    Marseille beat Nice 2-1 amid homophobic chants

    Marseille beat Nice 2-1 amid homophobic chants

    The other banner referred to the takeover by Ratcliffe, who owns the Team Ineos cycling team. "These things are unacceptable". In French the term "pedale" means to pedal but is also used as a derogatory term to describe gay people.
  • Brazil's Bolsonaro To Stop Using French Pens Amid Spat Over Amazon Fires

    Brazil's Bolsonaro To Stop Using French Pens Amid Spat Over Amazon Fires

    The Amazon spans eight countries and is often referred to as " the planet's lungs ", as it produces 20 percent of Earth's oxygen. Experts say the fires are caused by people intentionally setting fire to the land in order to make way for farming and mining .
    Twitter CEO Jack Dorsey’s Account Hacked

    Twitter CEO Jack Dorsey’s Account Hacked

    The Twitter CEO is still dating model Raven Lyn Corneil but just sold the LA mansion he bought her in 2018, according to Page Six .
    Carli Lloyd Offers Glimpse at NFL Future with 'It's Good' Goal Celebration

    Carli Lloyd Offers Glimpse at NFL Future with 'It's Good' Goal Celebration

    As long as you maintain your leg strength - which Lloyd obviously has in abundance - then you can potentially kick in the NFL. Lloyd started the deliberation rather innocently, when she happened to bring her cleats to an Eagles preseason practice.

Most liked

Kim Campbell panned for wishing hurricane would hit Trump's private club
Ms Campbell faced backlash for her tweet as many labelled it "embarrassing" and "disgusting ". "I shd (should) know better". In her apology, Campbell wrote that "it was intended as sarcasm-not a serious wish of harm".

USA officials attempting to block subsea cable from China to US
Ships have already installed 6,800 miles of the cable system, which will be ready by December or January, according to WSJ. It promises "faster connections for its investors on both sides of the Pacific", the Journal reports .

Trump Assistant Resigns After 'Breach of Trust — NY Times
President Trump is spending the weekend in Camp David Friday, in preparation for the arrival and aftermath of Hurricane Dorian. Westerhout's office was in front of the Oval Office and she had been described as Trump's "gatekeeper" in United States media.

Iran boosting effort to give Hezbollah precision-missile capability — Israeli military
Israeli Ambassador Danny Danon said the resolution sends "a clear message to the Lebanese government: restrain Hezbollah". The heavily armed Shiite movement has denied harboring such missile facilities.

FM Sitharaman unveils major overhaul of ailing state-run banks
The UCO Bank will get Rs 2,100 crore, the United Bank of India Rs 1,600 crore and the Punjab & Sind Bank Rs 750 crore. Finance secretary Rajeev Kumar said that there has been no retrenchment so far and that there is no of the same.

What's troubling Prince William about Prince Harry
She met with the accident in Paris. "She was the best mother", Prince Harry said in the documentary . The Princess of Wales was involved in a vehicle crash and couldn't survive the accident.

Ashes: Archer hits back at Smith as mind games continue
And Paine was confident that his team had gotten over it completely. "He actually didn't get me out". Perhaps, Ricky Ponting was talking about this special power of Starc.

Mega bank merger? Sitharaman's meet with PSU chiefs sparks speculation
Prior to this, the government had merged five associate banks of SBI and Bharatiya Mahila Bank with State Bank of India. She also said that chief risk offers will be recruited at market-linked compensation to attract best available talent.

Majority of Chinese and Hong-Kong citizens don't support protests-Ambassador
A state of emergency would pave way for the Hong Kong government to seek help from the Chinese army to deal with unrest. The Xinhua report on that rotation in August 2018 does not mention "one country, two systems" or national sovereignty.

Google Hire to be shut down
Google will also provide a free data export until the end of the contract term or September 1, 2020, The export format is JSON. The tech giant had shut several products earlier, including Google Hangouts, Google Plus, Inbox by Gmail, and Google Allo.

Johnson seeks to woo Trump, talk tough to European Union at G7
Johnson has also started to talk about the money side of Brexit , and the reported 39 billion pounds Britain would have to pay as a so-called divorce settlement when it leaves the bloc.

Carli Lloyd Received Offer To Kick In NFL Preseason Game, Says Trainer
Carli Lloyd drilled field goals last week at Eagles camp, as Philadelphia was holding a joint practice with the Ravens. All of the NFL's remaining 2019 preseason games are Thursday.

Formula 1 confirms record 22-race calendar for 2020
The season will once again begin in Australia, on the 15th of March, with the Vietnamese Grand Prix slotting in at round three. Ticket sales rarely cover such costs and this year's Grand Prix was funded with the help of Mercedes.

Federal grand jury indicts woman in Capital One case
Thompson is also accused in the indictment of " cryptojacking ", or using the hacked servers to mine digital currency. Thompson was first said to have been involved in the hacking of other companies August 14 when the U.S.

Celebs React To Shawn Mendes & Camila Cabello's Steamy VMAs Performance
This isn't the first time the former Fifth Harmony member and the If I Can't Have You singer were seen packing on the PDA . Then Cabello rubbed her nose up against Mendes' to wrap up the performance.