sunny.png
Wednesday March 20th, 2019 1:42PM

Global stocks rise on Fed restraint, US-China trade hopes

By The Associated Press
Related Articles
  Contact Editor

SINGAPORE (AP) — Global markets were mostly higher on Friday as investors cheered the Federal Reserve's more restrained stance and opt to view this week's U.S.-China trade talks in a positive light.

KEEPING SCORE: In Europe, Germany's DAX added 0.1 percent to 10,934.19 and the CAC 40 in France edged 0.2 percent higher 4,812.98. Britain's FTSE 100 rose 0.6 percent to 6,982.74. Wall Street was positioned for a flat opening. Futures for the S&P 500 index rose less than 0.1 percent to 2,595.80 and those for the Dow were flat at 23,962.00.

ASIA'S DAY: Japan's Nikkei 225 index advanced 1 percent to 20,359.70 and South Korea's Kospi was 0.6 percent higher at 2,075.57. Hong Kong's Hang Seng rose 0.6 percent to 26,667.27. The Shanghai Composite surged 0.7 percent to 2,553.83, but Australia's S&P ASX 200 lost 0.4 percent to 5,774.60. Shares rose Taiwan, Singapore and Malaysia but fell in the Philippines.

POWELL SPEECH: Federal Reserve Chairman Jerome Powell said Thursday that the U.S. central bank has the "ability to be patient" with its plans to gradually raise interest rates. He echoed the tone of other Fed officials who were present at a meeting last month. Minutes of the meeting, which were released a day earlier, showed the officials believed that the central bank could afford to take their time with rate hikes, given recent volatility in financial markets, trade tensions and shaky global growth. A market-sensitive Fed is reassuring to investors who fear its tightening policies would send the U.S. economy into recession.

US-CHINA TALKS: Talks between American and Chinese negotiators may have ended without significant breakthroughs, but traders are choosing to focus on the positives. The fact that talks lasted a day longer than planned, conciliatory statements from both sides and the possibility of higher-level talks in the near future are fueling gains in Europe and Asia. In December, U.S. President Donald Trump and Chinese leader Xi Jinping agreed to a 90-day tariffs ceasefire, for negotiators to soothe tensions that have unsettled trade.

ANALYST'S TAKE: "The sentiment pendulum has swung from U.S. recession fears to optimism for a dovish Fed and positive US-China trade talks. The return of risk appetite, in turn, has pressured the U.S. dollar lower," DBS Group Research strategists Philip Wee and Eugene Leow said in a commentary.

CHINESE ECONOMY: On Thursday, China released consumer and producer inflation figures that missed the mark. It said consumer prices rose by 1.9 percent in December from a year earlier, down from 2.2 percent in November. This was the slowest pace of growth in six months. Producer prices inched up 0.9 percent from a year ago, far from November's 2.7 percent rise. Slowing inflation raises doubts about the health of the world's second largest economy. A Reuters report on Friday, which cited anonymous sources, said China plans to lower its targeted growth in 2019 from around 6.5 percent, to a range of 6 to 6.5 percent.

ENERGY: Oil prices reversed early losses and continued to rise after a nine-day rally. Benchmark U.S. crude added 52 cents to $53.11 per barrel in electronic trading on the New York Mercantile Exchange. The contract is has surged by 23.7 percent since Dec. 24. It added 23 cents to $52.59 per barrel on Thursday. Brent crude, used to price international oils, was up 54 cents at $62.22 per barrel. It gained 24 cents to $61.68 per barrel in London.

CURRENCIES: The dollar weakened to 108.26 yen from 108.43 yen late Thursday. The euro rose to $1.1525 from $1.1501.

  • Associated Categories: Associated Press (AP), AP Business, AP Business - Economy, AP Business - Financial Markets, AP Business - Industries, AP Business - Financial Services, AP Business - Utilities
© Copyright 2019 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Global stocks rise on Fed restraint, US-China trade hopes
Global markets are mostly higher as investors cheer more restrained Federal Reserve, US-China trade talks
4:07AM ( 22 minutes ago )
Thai police: Canada, Australia willing to accept Saudi woman
Police in Thailand say several countries including Canada and Australia are in talks with the U.N. refugee agency to accept a Saudi asylum seeker who fled alleged abuse from her family
4:04AM ( 25 minutes ago )
Myanmar court rejects appeal of jailed Reuters reporters
A court in Myanmar has rejected the appeal of two Reuters journalists convicted of violating the country's Official Secrets Act, and maintained the 7-year prison terms they were sentenced to last year.
4:02AM ( 27 minutes ago )
Associated Press (AP)
The shutdown today: Shutdown ties for longest on record
The shutdown today: Shutdown ties for longest on record
2:41AM ( 1 hour ago )
New Wizards telecast opens door to sports betting through TV
The Washington Wizards are set to debut a gambling-focused telecast on the regional sports network that carries their games
2:25AM ( 2 hours ago )
NHL and NHLPA meet to discuss CBA, World Cup of Hockey
NHL and NHLPA discuss CBA extension that could pave way for World Cup of Hockey, agree to meet again next week
1:52AM ( 2 hours ago )
AP Business
California governor offers $144B budget, sees big surplus
California Gov. Gavin Newsom released a state budget proposal that seemingly does it all _ boosts spending toward his ambitious campaign promises and sets aside significant contributions toward debts and savings
9:22PM ( 7 hours ago )
Strong economy does little to lift department store sales
A strong economy did little to lift department store sales over the holidays
7:22PM ( 9 hours ago )
Isolation greets Maduro's new term as Venezuela's president
President Nicolas Maduro has been sworn in for a second, six-year term amid widespread international repudiation that his increasingly authoritarian rule has stripped Venezuela of its last vestiges of democracy
6:59PM ( 9 hours ago )
AP Business - Economy
Venezuela's Maduro celebrates 2nd term as crisis deepens
President Nicolas Maduro has been sworn in for a second, six-year term amid widespread international repudiation that his increasingly authoritarian rule has stripped Venezuela of its last vestiges of democracy
2:39PM ( 13 hours ago )
Stocks slip following four-day surge; Macy's nosedives
US stocks are mostly lower as stocks twist and turn after a four-day rally
1:57PM ( 14 hours ago )
Greek police use tear gas against anti-Merkel protesters
German Chancellor Angela Merkel is meeting Greek Prime Minister Alexis Tsipras in Athens, as a small group of leftists protesting her visit tried to defy a ban on demonstrations in the city center and were driven back by riot police using tear gas
1:11PM ( 15 hours ago )
AP Business - Financial Markets
Liberals dare Trump to back their bills lowering drug prices
Liberal lawmakers challenge Trump with drug cost legislation that echoes some of his own themes
2:34PM ( 13 hours ago )
Powell repeats pledge to remain 'patient' with rate hikes
Fed Chairman Powell repeats pledge to remain 'patient' in determining when to hike rates
1:42PM ( 14 hours ago )
US average mortgage rates fall; 30-year at 4.45 percent
U.S. long-term mortgage rates continued to fall this week, reaching their lowest levels in nine months
12:19PM ( 16 hours ago )
AP Business - Industries
Fed minutes: Growing risks make rate hike path less clear
Fed officials last month said rising downside risks made future path of rate hikes 'less clear'
3:48PM ( 1 day ago )
Yellow vest protesters call for huge run on French banks
Yellow vest activists are urging French citizens to empty their bank accounts and spark a bank run to get the French government to listen to their demands
7:49AM ( 1 day ago )
Washington governor, NY mayor push expanded health coverage
Washington's governor and New York City's mayor have unveiled major initiatives to expand health care coverage
9:33PM ( 2 days ago )
AP Business - Financial Services
Judge proposes ordering PG&E to shut off power for wildfires
A U.S. judge in San Francisco is considering ordering Pacific Gas & Electric Co. to re-inspect its entire electric grid and cut off power during certain wind conditions to prevent wildfires
10:16PM ( 1 day ago )
President calls on Mexicans to help in battling fuel thefts
Mexico's new president is calling on his countrymen to help battle against fuel thefts, as long lines spread to gas stations in Mexico City
5:14PM ( 1 day ago )
Global stock rally builds after US-China trade talks
US stocks were on track for their fourth straight gain Wednesday and stocks around the world added to their early 2019 rally after negotiators from the U.S. and China extended their round of trade talks to a third day
3:12PM ( 1 day ago )
AP Business - Utilities
Thai police: Canada, Australia willing to accept Saudi woman
Police in Thailand say several countries including Canada and Australia are in talks with the U.N. refugee agency to accept a Saudi asylum seeker who fled alleged abuse from her family
4:04AM ( 25 minutes ago )
Myanmar court rejects appeal of jailed Reuters reporters
A court in Myanmar has rejected the appeal of two Reuters journalists convicted of violating the country's Official Secrets Act, and maintained the 7-year prison terms they were sentenced to last year.
4:02AM ( 27 minutes ago )
Trump closer to declaring emergency; 800,000 won't get paid
President Donald Trump is edging closer to declaring a national emergency to fund his long-promised border wall
3:57AM ( 32 minutes ago )
Ex-Nissan chair Ghosn indicted for alleged breach of trust
Ex-Nissan chair Ghosn indicted for alleged breach of trust
3:57AM ( 33 minutes ago )
Australian actor McLachlan charged with indecent assault
Australian actor Craig McLachlan has been charged with eight counts of indecent assault, and one count of common assault, after being accused of sexual misconduct by three women who worked with him in a stage musical
3:53AM ( 37 minutes ago )