If the markets are anything to go by and with investor sentiment so high today – a U.S. – China trade deal breakthrough has to be more likely now than ever?
Positive news is in abundance right now and the markets are lapping it up.
Brexit deal and a U.S. China trade deal soon?
UK PM Boris Johnson and Ireland PM Leo Varadkar – after constructive talks Thursday, released a joint communication agreeing they could see a potential ‘pathway’ ahead to a Brexit deal. There is at least a sense of momentum.
The EU & UK Brexit discussions are making headway too as Steve Barclay and Michel Barnier reportedly had constructive talks. And, information released about the current round of U.S.- China trade talks all seem extremely positive too.
U.S & China
President Trump said yesterday that the current round of U.S. – China trade talks were going very well.
Today the U.S. President tweeted, ‘Good things are happening at China Trade Talk Meeting. Warmer feelings than in recent past, more like the Old Days. I will be meeting with the Vice Premier today. All would like to see something significant happen!‘
Markets are enjoying this positive period – optimism is definitely in the air!
The FTSE 100 is up! U.S. markets up! Dax up! Dow up! Nasdaq up! S&P 500 up! Nikkei closed up too!
Dow futures have been pushing up all morning and touched around 28020 earlier. Dow opened up by some 250 points and continued to climb to close in on 26900 at 14:45 BST.
Markets are up! Sterling is up! All very positive. Can anything scupper the positive sentiment surrounding a potential U.S. – China trade deal and for a Brexit deal too?
U.S. – China trade talk deal – phase 1. A partial deal agreed
U.S. postpones next tariff hike after China trade talks end positively. However, it has been reported the U.S. wants better protection for U.S. intellectual property, an end to both cyber theft and the forced transfer of technology to Chinese companies.
The U.S. also wants China to reduce industrial subsidies and improve access to Chinese markets for U.S. companies. Some way to go still…
But these issues are trickier and more concerning and still in discussion. Another planned tariff hike, in December, remains on the table too.
U.S. business leaders hope this breakthrough will set the stage for further discussions and a bigger deal to come.
Main indices all green
Dow closed up at: 26816
S&P 500 closed up at: 2970
FTSE 100 closed up at: 7247
Dax closed up at: 12511
Talks between the UK and European Union negotiators have concluded with a spokesperson for the EU reportedly describing them as ‘constructive.’
UK Brexit Secretary Stephen Barclay – and the EU’s Chief Negotiator – for the United Kingdom Exiting the European Union, Michel Barnier, met in Brussels Friday morning.
This, after Boris Johnson met Leo Varadkar on Thursday when a joint announcement suggested they could see a ‘pathway’ for a deal.
Apparently they are now at the entrance to the tunnel.
Let’s see what the weekend brings.
Saturday is shaping up to be a big day in British politics.