On Shine Monday, MSCI’s broadest index of Asia-Pacific shares outside Japan added 0.2% percent to the highest since October , Friday traded above 200 DMA , and is up 10% for the year so far. Asian share markets looked well set after U.S. President Donald Trump confirmed he would delay a planned increase on Chinese imports as talks between the two sides were making “substantial progress”.
Japan’s Nikkei climbed 0.57% to levels last seen in mid-December. Futures for the S&P 500 edged up 0.32%, while Treasury futures slipped.
Shanghai blue chips are already up almost 17 percent so far this year, helped in part by Beijing’s efforts to pump new credit into the financial system.
Trump on Sunday tweeted he would push back the March 1 deadline for higher tariffs and looked forward to a meeting with Chinese President Xi Jinping when a deal was sealed.
Trump tweeted progress had been made on intellectual property, technology transfers, agriculture, services and currencies.
Hopes for an end to the trade standoff had helped the S&P 500 post its highest close since Nov. 8 on Friday, while the Dow and Nasdaq boasted a ninth straight week of gains.
Fed Chairman Jerome Powell will testify on U.S. monetary policy on Tuesday and Wednesday.
Prime Minister Theresa May put off a vote on her Brexit deal until as late as March 12 - just 17 days before Britain is due to leave the EU - setting up a showdown this week with lawmakers who accuse her of running out the clock.
The Telegraph reported May was considering whether to delay Britain’s exit for up to two months.
In Currencies Market
The dollar was holding steady at 96.32.
The safe-haven yen a little and lifted the dollar to 110.74.
The euro was flat at $1.1347 and still well within the $1.1213/1.1570 trading range that has held since mid-October.
The Australian dollar, a liquid proxy for China investments, got a mild lift from the news. The dollar touched a fresh seven-month low on the yuan.
Sterling was idling at $1.3066 as markets awaited some clarity on where Brexit talks were heading.
In Commodity Market
Spot gold edged up a touch to $1,328.15 per ounce.
Oil prices rose on Monday as USA - CHINA appeared to edge closer to a trade deal, dampening fears over the outlook for global economic growth.
International Brent crude oil futures were at $67.44 a barrel, up 19 cents(0.28%), from their last close.
WTI crude futures were at $57.41 per barrel, up 11 cents (0.26%), from their last settlement.
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