Stocks rally after White House’s Kudlow says trade deal is possible Trade hopes drive market despite anomaly of Materials and Industrials underperformance US Treasury yields flirt with a top reversal, a bearish signal for equities climbs back above $4,000 Key Events
European shares and futures on the , and flashed green across the board, extending the rally seen yesterday on Wall Street, as investors found some steady footing ahead of a crucial speech by Federal Chair .
The rallied, buoyed by miners and energy producers, as traders took their cues from a bullish Asian session where regional benchmarks such as Japan’s outperformed (+1.02%)—though the Japanese benchmark closed well below its highs, paring 2.29 percent from its intraday high. Australia’s (-0.06 percent) was the only regional index to close in negative territory, dragged lower by materials stocks.
Global Financial Affairs
Yesterday, US equities extended a rebound on hopes of easing trade tensions between the world’s two largest economies. The natural exception were (-0.80%), whose luster fades each time traders see a light at the end of the US-China trade-dispute tunnel. Conversely, the outperformed (+0.44 percent), suggesting optimism on a trade resolution was the main market driver during the session.
Equities did in fact reverse losses after the White House’s chief economic adviser Larry Kudlow said the meeting between China’s leader Xi Jinping and US President Donald Trump is an opportunity to “turn the page” on trade relations. Ironically, Kudlow’s reassurance did nothing for trade-dispute proxy sector (-1.22%), the clear underperformer. (-0.17%), the other most affected sector during trade jitters, also lagged behind. We found no explanation for this anomaly.
The advanced 0.33 percent, sealing two-day gains of 1.87%. The second worst performing sector after Materials was —whose fate is tied with oil’s woes—which still managed to close more than a