Easing of US-China trade tensions lifts stocks
Dollar strengthens as stocks advance
US stocks rebounded on Friday after US Trade representative Lighthizer’s comment he would be “very surprised” if the dinner between Trump and Xi at the Group of 20 “was not a success.” S&P 500 rose 0.8% to 2760.17, closing 4.9% higher for the week. Dow Jones industrial average gained 0.8% to 25538.46. The Nasdaq added 0.8% to 7330.54. The dollar resumed strengthening: the live dollar index data show the ICE US Dollar index, a measure of the dollar’s strength against a basket of six rival currencies, rose 0.2% to 97.17 but is lower currently. Futures on three main US stock indexes point to higher openings today.
European stocks end week higher
European stocks pulled back on Friday on global trade policy uncertainty ahead of G 20 meeting. EUR/USD joined the GBP/USD’s slide but both are rising currently. The Stoxx Europe 600 Index slipped 0.2%, gaining 1% for the week. The DAX 30 lost 0.4% to 11257.24. France’s CAC 40 slid 0.1% and UK’s FTSE 100 dropped 0.8% to 6980.24.
Shanghai Composite leads Asian indices gains
Asian stock indices are rising today after Beijing and Washington agreed to pause the increases in tariffs for 90 days at Group of 20 meeting in Argentina. Nikkei added 1% to 22574.76 despite yen turning higher against the dollar. Chinese stocks are sharply higher after Caixin report activity in China's factories grew slightly faster in November: the Shanghai Composite Index is up 2.6% and Hong Kong’s Hang Seng Index is 2.5% higher. Australia’s All Ordinaries Index rebounded 1.8% despite an Australian dollar jump against the greenback.
Brent rallies on Russia-Saudi Arabia agreement
Brent futures prices jumped higher today after a decline Friday. Prices rallied on news Russia and Saudi Arabia will extend the crude oil output cut agreement. Brent for January settlement declined 1.3% to close at $58.71 a barrel Friday, a 22% drop for the week.
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