World stocks buoyed by US-China trade talks
Hopes of staving off a US government shutdown also helped the world stock index rise 0.3%, with the Nikkei up 2.6%
London — World shares and bond yields rode a renewed surge in risk appetite on Tuesday, as investors were optimistic about US-China trade talks and cheered Washington’s deal to avoid another government shutdown. Tokyo’s Nikkei set the tone with its best day of the year so far and Europe wasted little time in trying to lift the STOXX 600 back to the two-month high it set last week. Germany’s DAX jumped more than 1.2%, after rising 1% on Monday, and Paris and Milan were up 0.8%, while London’s FTSE approached a four-month peak despite ongoing Brexit uncertainty. The dollar hovered at a two-month high and the Australian dollar also gained. The yen and Swiss franc dipped while US treasury and German bund yields edged up as investors jettisoned safe havens. “We have had two bits of relatively good news overnight — optimism about the US shutdown not resuming and optimism about a trade deal,” said Société Générale strategist Kit Juckes. “Equities are higher, bond yields are a little bit hi...
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