World stocks jump on hopes of a US-China détente
US futures point to strong Wall Street open as French bond yields rise on Macron’s tax cuts, but sterling drops as Brexit vote is delayed
London — Stocks jumped on Tuesday as investors clung to hopes of a détente in the China-US trade war and picked through the rubble of conflagrations in other top economies, with heightened uncertainty over Brexit and French protests. A report that China is moving to cut import tariffs on American-made cars drove European stocks to extend gains strongly as automotive stocks jumped and the market interpreted this as a sign China is ready to make concessions on trade. The report came after China’s vice-premier Liu He exchanged views on the next stage of trade talks with US treasury secretary Steven Mnuchin and US trade representative Robert Lighthizer. S&P 500 and Dow futures were up 0.8% to 1%, indicating a strong open on Wall Street. Eurozone stocks rose 1.8% and Germany’s DAX 30 climbed 2% while Britain’s FTSE 100 rose 1.6%. Germany’s DAX, the most China-sensitive market in Europe, last week entered bear market territory. MSCI’s world equity index gained 0.4% — set for its first day...
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