Trump teases ‘important announcements’ as he touts ‘very productive’ China trade talks

President Donald Trump on Tuesday hinted at “important announcements” regarding his administration’s high-stakes trade talks with China. Trump tweeted last week that China had agreed to slash the tariffs, although the Chinese government did not confirm or deny it at the time. According to The Wall Street Journal, which cited Chinese officials, Chinese President Xi Jinping has told senior members of his government to follow through on his recent agreement with Trump. The U.S. and China have resta


President Donald Trump on Tuesday hinted at “important announcements” regarding his administration’s high-stakes trade talks with China. Trump tweeted last week that China had agreed to slash the tariffs, although the Chinese government did not confirm or deny it at the time. According to The Wall Street Journal, which cited Chinese officials, Chinese President Xi Jinping has told senior members of his government to follow through on his recent agreement with Trump. The U.S. and China have resta
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Company: cnbc, Activity: cnbc, Date: 2018-12-11  Authors: mike calia
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Trump teases 'important announcements' as he touts 'very productive' China trade talks

President Donald Trump on Tuesday hinted at “important announcements” regarding his administration’s high-stakes trade talks with China.

“Very productive conversations going on with China! Watch for some important announcements!” the president tweeted.

Trump’s optimistic tweet came soon after Bloomberg News reported that China’s government would consider slashing tariffs on U.S. car imports to 15 percent from 40 percent. Auto stocks jumped on the news in premarket trading. Overall, stocks pointed to a higher open as markets looked to bounce back from last week’s rout.

Trump tweeted last week that China had agreed to slash the tariffs, although the Chinese government did not confirm or deny it at the time. In July, China cut tariffs on auto imports to 15 percent from 25 percent, but then soon hiked duties on U.S.-made cars to 40 percent as retaliation for the Trump administration’s aggressive trade moves.

Other signs of potential progress emerged Tuesday. According to The Wall Street Journal, which cited Chinese officials, Chinese President Xi Jinping has told senior members of his government to follow through on his recent agreement with Trump. Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer are the main U.S. negotiators in calls with Chinese negotiators.

The U.S. and China have restarted trade negotiations after Trump and Xi reached a truce in their nations’ escalating trade war. The two leaders spoke during a working dinner at the G-20 summit in Argentina on Dec. 1.

As part of the truce, the U.S. and China agreed to a 90-day window to negotiate some significant sticking points between the world’s two largest economies. As part of the interim agreement, Trump said he would hold off on boosting tariffs on $200 billion in Chinese goods to 25 percent from 10 percent.

Trump’s tweet Tuesday also came during the battle over a Chinese executive who was arrested in Canada, the same day Trump and Xi dined in Argentina, and faces extradition to the United States. Meng Wanzhou, CFO of Chinese telecom giant Huawei, is being held by Canadian authorities in a case related to the company’s alleged sale of equipment containing U.S. components to Iran in violation of international sanctions on the Islamic Republic.

There are concerns that the Huawei case could upset the delicate but broad trade talks between the U.S. and China, although the renewed talks and Trump’s claims indicate it has yet to disrupt the negotiations.


Company: cnbc, Activity: cnbc, Date: 2018-12-11  Authors: mike calia
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Dow turns negative, drops 200 points as bank shares fall

News of Meng’s arrest broke last week and is reportedly related to possible violations of U.S. sanctions. The arrest is seen as a potential deterrent to the U.S. and China reaching a permanent deal on trade. Huawei is one of the largest tech companies in China and is seen as symbol of pride by the Chinese government. On Dec. 1, President Donald Trump and Chinese President Xi Jinping agreed to a 90-day truce on the countries’ trade spat. He added that additional tariffs will be placed on Chinese


News of Meng’s arrest broke last week and is reportedly related to possible violations of U.S. sanctions. The arrest is seen as a potential deterrent to the U.S. and China reaching a permanent deal on trade. Huawei is one of the largest tech companies in China and is seen as symbol of pride by the Chinese government. On Dec. 1, President Donald Trump and Chinese President Xi Jinping agreed to a 90-day truce on the countries’ trade spat. He added that additional tariffs will be placed on Chinese
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Dow turns negative, drops 200 points as bank shares fall

News of Meng’s arrest broke last week and is reportedly related to possible violations of U.S. sanctions. The arrest is seen as a potential deterrent to the U.S. and China reaching a permanent deal on trade. Huawei is one of the largest tech companies in China and is seen as symbol of pride by the Chinese government. Meng is scheduled to appear at a bail hearing in Canada later on Monday.

Monday’s moves come after a volatile week for investors. The Dow, S&P 500 and Nasdaq Composite all posted their worst weekly performances since March last week, falling more than 4 percent each, as worries and confusion about the ongoing U.S.-China trade war and fears of an economic slowdown gripped Wall Street.

“The volatility continues,” said Mark Newton, managing member at Newton Advisors, in a note to clients. “Stocks reversed the prior week’s rally violently over the last few days, and now have reached the bottom of the recent trading consolidation that’s been in place for the past few months.”

“Seeing a larger breakdown in the indices at this point would confirm that stocks have definitely started a larger correction that should eventually lead to a bear market,” he said.

On Dec. 1, President Donald Trump and Chinese President Xi Jinping agreed to a 90-day truce on the countries’ trade spat. Both leaders agreed not to slap additional tariffs on billions of dollars worth of goods from their countries. It was not immediately clear, however, when the truce started as administration officials disagreed on the matter. Trump later said on Twitter the cease-fire began on Saturday, when he and Xi struck the deal.

The mixed messages did not stop there, however. National Economic Council Director Larry Kudlow told CNBC on Friday that Trump would extend the 90-day grace period if progress in the negotiations was made but a permanent deal could not be reached. Later that day, trade advisor Peter Navarro told CNN that Trump would “simply raise” tariffs on Chinese goods if a permanent deal was not struck after the 90 days.

U.S. Trade Representative Robert Lighthizer warned on Sunday he considers March 1 — when the truce is scheduled to end — as “a hard deadline.” He added that additional tariffs will be placed on Chinese goods if a deal is not reached by then.

Meanwhile, the 3-year Treasury note yield broke above its 5-year counterpart last week. This “yield-curve inversion” stoked fears that a recession could be on its way. Still, many traders believe the inversion won’t be official until the 2-year yield rises above the 10-year yield, which has not happened yet.

Strategists at MRB Partners think investors might be overreacting to the moves in Treasury yields. “Markets are now discounting greater weakness than we expect next year,” they said in a note. “Our neutral stance on equities and underweight on fixed income corresponds with our expectation that stocks will outperform bonds in the year ahead, albeit in choppy fashion.”

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Company: cnbc, Activity: cnbc, Date: 2018-12-09  Authors: fred imbert, getty images
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Trump says he believes China’s Xi Jinping on trade tariff truce

President Donald Trump said Wednesday that he trusts Chinese President Xi Jinping’s word on commitments to trade reforms, amid confusion about what the two leaders actually agreed to as part of their weekend trade truce. The leaders are trying to come to terms over what the Trump administration calls unfair trade practices. In tweets Wednesday morning, Trump pushed back on reports that China may not swiftly address the White House’s concerns. “Not to sound naive or anything, but I believe Presid


President Donald Trump said Wednesday that he trusts Chinese President Xi Jinping’s word on commitments to trade reforms, amid confusion about what the two leaders actually agreed to as part of their weekend trade truce. The leaders are trying to come to terms over what the Trump administration calls unfair trade practices. In tweets Wednesday morning, Trump pushed back on reports that China may not swiftly address the White House’s concerns. “Not to sound naive or anything, but I believe Presid
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Trump says he believes China's Xi Jinping on trade tariff truce

President Donald Trump said Wednesday that he trusts Chinese President Xi Jinping’s word on commitments to trade reforms, amid confusion about what the two leaders actually agreed to as part of their weekend trade truce.

The world’s two largest economies agreed to halt an escalating series of tariffs following a face to face meeting between Trump and Xi at the G-20 summit in Argentina on Saturday. But Trump’s claims about what China conceded have muddled the start of a 90-day window for talks to reach an agreement. The leaders are trying to come to terms over what the Trump administration calls unfair trade practices. The mixed messages coming from the White House helped to sink U.S. stock markets on Tuesday.

In tweets Wednesday morning, Trump pushed back on reports that China may not swiftly address the White House’s concerns. He said Beijing sent “very strong signals” about taking action on trade after a “long trip, including stops,” home from Argentina.

“Not to sound naive or anything, but I believe President Xi meant every word of what he said at our long and hopefully historic meeting. ALL subjects discussed!” the president tweeted.

Trump, a president who often declares victory even in the absence of concrete progress, quickly touted major Chinese concessions following the meeting Saturday. He said Monday that China would “immediately” start purchasing more agricultural products and “reduce and remove tariffs” on auto imports — statements that White House officials and the Chinese government struggled to clarify in the ensuing days.


Company: cnbc, Activity: cnbc, Date: 2018-12-05  Authors: jacob pramuk, thomas peter, pool, getty images, kevin lemarque
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China confused by Trump’s words of triumph after trade truce

US and China hammer out 90-day trade truce — Seven experts break down what that means for investors 11 Hours Ago | 04:21China is reportedly confused by the Trump administration’s version of what happened in Buenos Aires. It’s just madness,” the former official, who asked for anonymity to describe confidential discussions, told the Post. The White House said the nations had agreed to a 90-day truce on trade. Following the meeting, Trump told reporters it was “an incredible deal” and that it “goes


US and China hammer out 90-day trade truce — Seven experts break down what that means for investors 11 Hours Ago | 04:21China is reportedly confused by the Trump administration’s version of what happened in Buenos Aires. It’s just madness,” the former official, who asked for anonymity to describe confidential discussions, told the Post. The White House said the nations had agreed to a 90-day truce on trade. Following the meeting, Trump told reporters it was “an incredible deal” and that it “goes
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China confused by Trump's words of triumph after trade truce

US and China hammer out 90-day trade truce — Seven experts break down what that means for investors 11 Hours Ago | 04:21

China is reportedly confused by the Trump administration’s version of what happened in Buenos Aires.

After the key meeting between President Donald Trump and Chinese President Xi Jinping, officials from Beijing are “puzzled and irritated” by the Trump administration’s behavior, The Washington Post reported Tuesday, citing a former U.S. government official who has been in contact with the Chinese officials.

“You don’t do this with the Chinese. You don’t triumphantly proclaim all their concessions in public. It’s just madness,” the former official, who asked for anonymity to describe confidential discussions, told the Post.

The two world leaders met over dinner during the G-20 summit in Argentina last week. The White House said the nations had agreed to a 90-day truce on trade. Following the meeting, Trump told reporters it was “an incredible deal” and that it “goes down, certainly, if it happens, it goes down as one of the largest deals ever made.”

But the Post reported that the Chinese have not acknowledged a 90-day deadline for the talks and have not said that they would “immediately” increase purchases of U.S. farm goods.


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The White House’s muddled message on Trump’s China trade truce is another headache for markets

There also appeared to be confusion among Trump’s top advisers about exactly who would lead the negotiations. U.S. Trade Representative Robert Lighthizer, who is more of a protectionist, appeared to be set to play that role. But Treasury Secretary Steven Mnuchin told CNBC Monday, “it’s clear that President Trump is going to be the one who leads the negotiations, and the team will be an inclusive team.” That same day, Navarro told NPR that the auto tariffs were “just one of the many tariffs that


There also appeared to be confusion among Trump’s top advisers about exactly who would lead the negotiations. U.S. Trade Representative Robert Lighthizer, who is more of a protectionist, appeared to be set to play that role. But Treasury Secretary Steven Mnuchin told CNBC Monday, “it’s clear that President Trump is going to be the one who leads the negotiations, and the team will be an inclusive team.” That same day, Navarro told NPR that the auto tariffs were “just one of the many tariffs that
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The White House's muddled message on Trump's China trade truce is another headache for markets

On Monday, Larry Kudlow, director of the National Economic Council, told reporters in a briefing call that the 90 day truce on tariff increases would begin January 1, the same day that those proposed increases were set to go into effect. But six hours later, the White House said Kudlow was wrong; the clock had started ticking on December 1, the night of Trump’s meeting with Chinese President Xi Jinping.

There also appeared to be confusion among Trump’s top advisers about exactly who would lead the negotiations. U.S. Trade Representative Robert Lighthizer, who is more of a protectionist, appeared to be set to play that role. But Treasury Secretary Steven Mnuchin told CNBC Monday, “it’s clear that President Trump is going to be the one who leads the negotiations, and the team will be an inclusive team.” Trump later confirmed that Lighthizer would lead the team.

China has more clarity in that regard. Vice Premier Liu He has headed negotiations for Beijing during the Trump administration.

As for Trump’s tweet about the auto tariff agreement, neither Kudlow nor Treasury Secretary Steve Mnuchin nor trade adviser Peter Navarro would confirm that Beijing had agreed to eliminate automobile tariffs on U.S. cars, as Trump had claimed.

“In my view, I think the president expects them to go to zero,” Kudlow said Monday on Fox News, when pressed about the auto tariffs. That same day, Navarro told NPR that the auto tariffs were “just one of the many tariffs that have to be reduced.”

Mnuchin told Fox Business on Tuesday that China had made “specific commitments in the near-term on agriculture, LNG, industrial products, autos…with specific targets that they think they can meet.”

U.S. officials like Mnuchin and Kudlow also emphasized that nothing had been put down on paper yet, and they gave no solid time frames for when investors could hope to see concrete agreements. Instead, they repeatedly used the word “immediately” to describe when they expected the next steps in the talks to take place.

But Navarro, who is one of the administration’s top China hawks, put it more starkly. “We’ve just given the Chinese 90 days to do what they should have been doing for the last 20 years.” he told NPR.


Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: christina wilkie, kevin lemarque
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Caterpillar is not the way to play this US-China trade truce, Oppenheimer says

Caterpillar just got a big bump from easing trade tensions between the U.S. and China. Ari Wald, head of technical analysis at Oppenheimer, says this is not the stock to take advantage of the trade war truce. I just don’t think Caterpillar is the way to play it,” Wald told CNBC’s “Trading Nation” on Monday. “The second thing everybody is noticing, of course, is the U.S.-China trade relation tension that is easing right now,” said Schlossberg. “Both of those things have provided a very strong tai


Caterpillar just got a big bump from easing trade tensions between the U.S. and China. Ari Wald, head of technical analysis at Oppenheimer, says this is not the stock to take advantage of the trade war truce. I just don’t think Caterpillar is the way to play it,” Wald told CNBC’s “Trading Nation” on Monday. “The second thing everybody is noticing, of course, is the U.S.-China trade relation tension that is easing right now,” said Schlossberg. “Both of those things have provided a very strong tai
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Caterpillar is not the way to play this US-China trade truce, Oppenheimer says

Caterpillar just got a big bump from easing trade tensions between the U.S. and China.

Shares of the industrial bellwether surged more than 2 percent to begin the week, wiping out some of its year-to-date losses. Its stock remains 12 percent lower for 2018.

Ari Wald, head of technical analysis at Oppenheimer, says this is not the stock to take advantage of the trade war truce.

The trade war cease-fire “should be good for the stock market. I just don’t think Caterpillar is the way to play it,” Wald told CNBC’s “Trading Nation” on Monday. “In general, we are cautious on capital goods stocks that are exposed to the global economy, and what we see as a decelerating macro backdrop.”

Caterpillar has been trending lower for much of the year, caught between trade headlines and fears of slowing global growth. The industrials giant is particularly sensitive to any drop in global economic activity.

“If you’re buying this stock you’re making the case that the global backdrop is bullish,” said Wald. “What we instead see is a stock rallying into very formidable resistance at around $142. This marks the stock’s … falling 200-day moving average as well as its Q1 lows.”

Caterpillar would need to rally another 2 percent to reach its resistance at $142.

Boris Schlossberg, managing director of FX strategy at BK Asset Management, is more bullish on the stock, naming two macro factors that could carry Caterpillar higher.

“The Fed seems to be easing its monetary path cycle, and therefore if it really isn’t going to hike rates as much as the market thinks in 2019, that’s positive for Caterpillar, which obviously has a lower cost of capital as a result of this,” Schlossberg told “Trading Nation” on Monday.

Federal Reserve Chair Jerome Powell last week eased concerns that the central bank would move too aggressively next year to raise interest rates. Investors see a more dovish Fed as less of an impediment to economic growth.

“The second thing everybody is noticing, of course, is the U.S.-China trade relation tension that is easing right now,” said Schlossberg.

The U.S. and China agreed over the weekend to a 90-day trade truce to hold tariffs at current levels. That three-month stretch allows them time to reach a more formal trade agreement.

“Both of those things have provided a very strong tailwind for the stock right now,” Schlossberg said. “If the dynamic for those things changes very quickly, the stock goes right back down, irrespective of its own internal fundamentals.”


Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: keris lahiff, brendan mcdermid, getty images, loic venance, afp, monica almeida, kcna, thomas barwick getty images, source, lawrence mcdonald
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Europe markets: Rising worries over US-China trade truce

The pan-European Stoxx 600 was down 0.7 percent during deals, with most sectors and major bourses in negative territory. Europe’s autos sector, which has been the most sensitive to trade war fears in recent months, led the losses, down almost 2.5 percent Tuesday. France’s Faurecia was the worst sectoral performer, with shares down 6.6 percent after Jefferies cut its target price for the stock. The technology sector was also a big loser, falling 1.4 percent. U.K. Telecoms firm BT had better fortu


The pan-European Stoxx 600 was down 0.7 percent during deals, with most sectors and major bourses in negative territory. Europe’s autos sector, which has been the most sensitive to trade war fears in recent months, led the losses, down almost 2.5 percent Tuesday. France’s Faurecia was the worst sectoral performer, with shares down 6.6 percent after Jefferies cut its target price for the stock. The technology sector was also a big loser, falling 1.4 percent. U.K. Telecoms firm BT had better fortu
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Europe markets: Rising worries over US-China trade truce

The pan-European Stoxx 600 was down 0.7 percent during deals, with most sectors and major bourses in negative territory.

Europe’s autos sector, which has been the most sensitive to trade war fears in recent months, led the losses, down almost 2.5 percent Tuesday. France’s Faurecia was the worst sectoral performer, with shares down 6.6 percent after Jefferies cut its target price for the stock. One in four automobiles is equipped by parts made by Faurecia.

The technology sector was also a big loser, falling 1.4 percent. Chip-makers are also heavily exposed to China and AMS and Siltronic dipped around 5 and 8 percent respectively.

U.K. Telecoms firm BT had better fortunes, rising more than 2 percent after a Goldman Sachs upgrade to to “Buy” from “Neutral.”

European markets fell additional pressure as both the euro and pound moved higher. Those currencies enjoyed attention after a lawyer advised Europe’s top court that the U.K. could end Brexit without seeking the permission of others.


Company: cnbc, Activity: cnbc, Date: 2018-12-04  Authors: david reid, sam meredith
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Trade war truce is ‘not a game changer’ at this stage: T. Rowe Price

Trade war truce is ‘not a game changer’ at this stage: T. Rowe Price10:17 PM ET Mon, 3 Dec 2018Thomas Poullaouec of T. Rowe Price says the U.S.-China trade truce is “definitely” a positive in the short term, but trade tensions are still “looming.”


Trade war truce is ‘not a game changer’ at this stage: T. Rowe Price10:17 PM ET Mon, 3 Dec 2018Thomas Poullaouec of T. Rowe Price says the U.S.-China trade truce is “definitely” a positive in the short term, but trade tensions are still “looming.”
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Trade war truce is 'not a game changer' at this stage: T. Rowe Price

Trade war truce is ‘not a game changer’ at this stage: T. Rowe Price

10:17 PM ET Mon, 3 Dec 2018

Thomas Poullaouec of T. Rowe Price says the U.S.-China trade truce is “definitely” a positive in the short term, but trade tensions are still “looming.”


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Dollar weakens as US-China trade truce revives demand for riskier currencies

Riskier currencies such as the Australian dollar and New Zealand dollar rallied by more than 0.5 percent each, while safe haven currencies such as the yen and the Swiss franc traded weaker in early Asian trade, signalling a clear risk-on move in the financial markets. “The trade truce is definitely risk positive for the markets…we expect dollar safe haven buying to fade and riskier currencies such as the Aussie and Kiwi dollar to scale higher,” said Rodrigo Catril, senior currency strategist a


Riskier currencies such as the Australian dollar and New Zealand dollar rallied by more than 0.5 percent each, while safe haven currencies such as the yen and the Swiss franc traded weaker in early Asian trade, signalling a clear risk-on move in the financial markets. “The trade truce is definitely risk positive for the markets…we expect dollar safe haven buying to fade and riskier currencies such as the Aussie and Kiwi dollar to scale higher,” said Rodrigo Catril, senior currency strategist a
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Dollar weakens as US-China trade truce revives demand for riskier currencies

The dollar fell across the board on Monday as investor demand for riskier assets rose after China and the U.S. agreed to a cease-fire in a trade dispute that has shaken global markets.

The White House said on Saturday that President Donald Trump told China’s President Xi Jinping at the G-20 talks in Argentina that he would not boost tariffs on $200 billion of Chinese goods to 25 percent on Jan. 1 as previously announced.

China and United States will try to bridge their differences via new talks aimed at reaching a deal within 90 days.

Riskier currencies such as the Australian dollar and New Zealand dollar rallied by more than 0.5 percent each, while safe haven currencies such as the yen and the Swiss franc traded weaker in early Asian trade, signalling a clear risk-on move in the financial markets.

“The trade truce is definitely risk positive for the markets…we expect dollar safe haven buying to fade and riskier currencies such as the Aussie and Kiwi dollar to scale higher,” said Rodrigo Catril, senior currency strategist at NAB.

Catril noted that crosses such as the Aussie/yen and kiwi/yen are likely to see further upside as currency traders react to the temporary truce between the world’s two largest economies.

The dollar index, a gauge of its value versus six major peers, traded down 0.13 percent at 97.14.

The dollar lost 0.54 percent versus the offshore yuan, its steepest percentage fall since Oct. 1, to quote at 6.9134.

The safe-haven yen weakened to 113.68 on Monday, with the greenback gaining 0.2 percent, reflecting the prevailing risk-on mood. The euro gained 0.34 percent on the yen to 128.89, briefly hitting an intra-day high of 129.37, its highest level since Nov. 9.

The euro changed hands gained 0.16 percent to $1.1333 amid heavy dollar selling.

However, some analysts warned many issues had to be resolved for risk sentiment to stay positive in the medium term.

“Ultimately, it remains a high order for China to fulfil the U.S. demands on structural issues…at a time when the major issues that the U.S. has raised represent a challenge to China’s rise, a long-lasting and meaningful de-escalation remains very challenging,” said Daniel Been, head of currency research at ANZ.

Apart from trade, investor focus will also return to the U.S. monetary policy, with the Federal Reserve expected to raise interest rates by 25 basis points later in December, which would be its fourth rate hike this year.

“The developments over the weekend will give the Fed some more confidence to raise rates in 2019,” said Michael McCarthy, chief market strategist at CMC markets.

The dollar had come under pressure last week when the market took comments by Federal Reserve Chair Jerome Powell as hinting at a slower pace of rate hikes.

Powell is scheduled to testify before a congressional Joint Economic Committee later this week.

The British pound traded weaker versus the dollar at $1.2740 losing around 0.1 percent of its value. Sterling has posted losses for three consecutive weeks as traders bet that British Prime Minister Theresa May will not be able to pass her Brexit deal through parliament on Dec. 11.


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Europe rallies 2% after US and China agree to temporary trade truce; miners surge 5%

The pan-European Stoxx 600 was up more than 2 percent during early morning deals, with all sectors in positive territory. Germany’s DAX index led the gains among the major bourses, surging over 2.5 percent Monday morning. Looking at individual stocks, Netherlands-based pharmaceutical company Argenx rose toward the top of the European benchmark. Meanwhile, Dutch company Signify slipped to the bottom of the index, after J.P. Morgan revised its stock recommendation to “underweight” Monday morning.


The pan-European Stoxx 600 was up more than 2 percent during early morning deals, with all sectors in positive territory. Germany’s DAX index led the gains among the major bourses, surging over 2.5 percent Monday morning. Looking at individual stocks, Netherlands-based pharmaceutical company Argenx rose toward the top of the European benchmark. Meanwhile, Dutch company Signify slipped to the bottom of the index, after J.P. Morgan revised its stock recommendation to “underweight” Monday morning.
Europe rallies 2% after US and China agree to temporary trade truce; miners surge 5% Cached Page below :
Company: cnbc, Activity: cnbc, Date: 2018-12-03  Authors: sam meredith
Keywords: news, cnbc, companies, surge, trade, europe, stocks, stock, index, rallies, china, miners, morning, agree, argenx, worth, temporary, truce, washington, company, shares, underweight


Europe rallies 2% after US and China agree to temporary trade truce; miners surge 5%

The pan-European Stoxx 600 was up more than 2 percent during early morning deals, with all sectors in positive territory. Germany’s DAX index led the gains among the major bourses, surging over 2.5 percent Monday morning.

Europe’s basic resources stocks — with their heavy exposure to China — jumped more than 5 percent shortly after the opening bell, as investors reacted to a cease-fire on tariffs between Washington and Beijing. Antofagsta, Glencore and Anglo American were all trading more than 6 percent higher on the news.

Looking at individual stocks, Netherlands-based pharmaceutical company Argenx rose toward the top of the European benchmark. Shares of the group soared 13 percent after Argenx announced it would enter an exclusive global collaboration and license agreement with Cilag, an affiliate of Jansen. The deal is reported to potentially be worth $1.6 billion.

Meanwhile, Dutch company Signify slipped to the bottom of the index, after J.P. Morgan revised its stock recommendation to “underweight” Monday morning. Shares of the Amsterdam-listed stock were down more than 2 percent.


Company: cnbc, Activity: cnbc, Date: 2018-12-03  Authors: sam meredith
Keywords: news, cnbc, companies, surge, trade, europe, stocks, stock, index, rallies, china, miners, morning, agree, argenx, worth, temporary, truce, washington, company, shares, underweight


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