Asian shares firmed on Monday as signs of progress in the Sino-U.S. talks
Asian shares firmed on Monday as signs of progress in the Sino-U.S. trade standoff whetted risk appetites, though investors remained wary of the damage already done to the global economy.
- MSCI’s broadest index of Asia-Pacific shares outside Japan rose 1.1% in light trade.
- Australia’s main index tacked on 0.6% and South Korea rose 1.4%. Shanghai blue chips added 1.4%.
- Nikkei futures were trading at 22,080 compared with a Friday close of 21,798 in the Nikkei cash index.
- E-Mini futures for the S&P 500 nudged up 0.2% after jumping on Friday, while EUROSTOXX futures were little changed.
- The progress on trade was still enough to slug safe-haven bonds with yields on U.S. 10-year Treasury notes climbing 23 basis points last week to stand at 1.74%.
- The dollar fared less well elsewhere, partly due to a jump in sterling, and was last at 98.435 against a basket of currencies after losing 0.5% last week.
- The dollar also slipped 0.5% on the Chinese yuan to stand at 7.0500 .
- The pound was trading cautiously at $1.2614 having surged to a 15-week high around $1.2705 on Friday on optimism Britain could reach a deal on Brexit with the European Union.
- The general improvement in risk sentiment saw spot gold ease another 0.2% to $1,486.99 per ounce.
- Brent crude (LCOc1) futures eased 26 cents at $60.25, while U.S. crude (CLc1) lost 25 cents to $54.45 a barrel.