Global Stocks Rise on Friday 01/18 05:54
Global stocks rose Friday after investors saw signs of possible progress
toward a resolution of the U.S.-Chinese tariff war. Shares in China posted
BEIJING (AP) -- Global stocks rose Friday after investors saw signs of
possible progress toward a resolution of the U.S.-Chinese tariff war. Shares in
China posted solid gains.
KEEPING SCORE: In early trading, London's FTSE 100 gained 0.7 percent to
6,882.48 and Germany's DAX advanced 0.3 percent to 10,931.24. France's CAC 40
shed 0.3 percent to 4,839.03. On Thursday, the FTSE 100 slide 0.4 percent, the
CAC 40 lost 0.3 percent and the DAX retreated 0.1 percent. On Wall Street, the
future for the Dow Jones Industrial Average rose 0.3 percent and that for the
Standard & Poor's 500 index was up 0.2 percent.
ASIA'S DAY: The Shanghai Composite Index advanced 1.4 percent to 2,596.01
and Hong Kong's Hang Seng gained 1.2 percent to 27,082.01. Tokyo's Nikkei 225
rose 1.3 percent to 20,666.07 and Seoul's Kospi added 0.8 percent to 2,124.28.
Sydney's S&P-ASX 200 was 0.5 percent higher at 5,879.60 while India's Sensex
shed 0.1 percent to 36,319.31. Benchmarks in Taiwan, New Zealand and Southeast
Asia also advanced.
US-CHINA TRADE: China announced its economy czar, Vice Premier Liu He, will
visit Washington for talks on Jan. 30-31 aimed at ending the tariff war sparked
by U.S. complaints about Beijing's technology ambitions. Business groups and
economists were looking for Liu and his American counterpart, U.S. Trade
Representative Robert Lighthizer, to take part in talks as a sign lower-level
negotiations earlier in Beijing made progress. The Wall Street Journal reported
Treasury Secretary Steven Mnuchin was willing to roll back U.S. tariff hikes on
Chinese goods, though it said Lighthizer and other officials opposed that idea.
ANALYST'S COMMENT: Asian markets welcome "the latest indication of further
interest from the U.S. to resolve the U.S.-China trade uncertainty," said
Jingyi Pan of IG in a report. "While skepticism may well persist, and worries
build ahead of Chinese growth figures next week, the driving force for intraday
market action belongs to trade."
JAPAN INFLATION: Inflation in December came in weaker than expected, putting
the central bank farther from its target of 2 percent. Prices rose 0.3 percent,
down from November's 0.8 percent, as tumbling food costs offset a rise in
ENERGY: Benchmark U.S. crude gained 43 cents to $52.50 per barrel in
electronic trading on the New York Mercantile Exchange. The contract fell 24
cents on Thursday to close at $52.07. Brent crude, used to price international
oils, added 45 cents to $61.63 per barrel in London. It lost 14 cents the
previous session to $61.18.
CURRENCY: The dollar advanced to 109.48 yen from Thursday's 109.24 yen. The
euro gained to $1.1391 from $1.1388.