Markets in risk-on mood amid hopes of US-China trade deal – business live

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Introduction: Mnuchin fuels optimism over China trade talks Treasury Secretary Steven Mnuchin at the International Monetary and Financial Committee conference at the World Bank/IMF Spring Meetings in Washington on . Photograph: José Luis Magaña/AP

Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business.

Investors are starting the new week with a spring in their step, on hope that Washington and Beijing are inching towards a resolution in their trade war.

With Brexit on the back burner, City investors are refocusing on the US-China trade talks....and welcoming upbeat comments from Treasury secretary Steven Mnuchin over the weekend.

Mnuchin told reporters in Washington that “we’re hopefully getting very close to the final round of these issues,” signalling that further face-to-face talks could be imminent.

Perhaps significantly, Mnuchin also that the U.S. is open to facing “repercussions” if it doesn’t live up to its commitments in a potential trade deal with China. That could be a sign that the deal being drawn up has teeth.

As Mnuchin put it:

There are certain commitments that the United States is making in this agreement, and there are certain commitments that China is making.

“I would expect that the enforcement mechanism works in both directions, that we expect to honour our commitments, and if we don’t, there should be certain repercussions, and the same way in the other direction.

We’ve been here before, of course -- optimism doesn’t always translate into concrete action. But both sides are keen to get a deal, especially after last Friday’s import and export data showed US trade with China has slumped over 11% this year.

Mnuchin’s comments sent shares higher in Asia, with China’s Shanghai Composite inde x up 0.6%.

Japan’s Nikkei surged by 1.4%, hitting its highest level since last December.

European markets are expected to post gains today too:

enltrGlobal stocks starting unsurprisingly higher to the week on combination of better China data, elevated optimism over US-China trade talk & pos handover from Wall St on Fri. IMF-World Bank spring meetings cautious but constructive. Bonds unchg w/US 10y at 2.55%. Bitcoin at $5.2k. pic.twitter.com/xgvfSEDpXW

— Holger Zschaepitz (@Schuldensuehner)

enltrRisk on sentiment greets European traders this morning as Asian stocks rally on hopes of a US-China trade deal.

US Tres Sec Mnuchin hopes US-China trade talks nearing 'final round'
An agreement would go "way beyond" previous efforts to open China's markets to American firms https://t.co/VKAyQ5ODKO

— Sigma Squawk (@SigmaSquawk) Also coming up today

Goldman Sachs releases its latest financial results before Wall Street opens; analysts predict that revenue fell 10% year-on-year in the first quarter of 2019.

Plus, the latest Empire manufacturing report will show how factories in New York state are faring this month, and whether trade tensions are hurting.

The agenda
  • (estimate): Goldman Sachs results for Q1 2019
  • : The New York Empire State Manufacturing Index released

block-time updated-timeUpdated at

363 2019-04-18T06:00:00Z true 2019-04-15T06:57:02Z false false 2019-04-15T06:58:29Z true UK theguardian.com

https://gu.com/p/b8pce false true https://media.guim.co.uk/d8b6d1b149fc3ea7d4a8e3ca7448b51c851a3967/0_116_3680_2208/500.jpg false en Good morning, and welcome to our rolling coverage of the world economy, the financial markets, the eurozone and business. Investors are starting the new week with a spring in their step, on hope that Washington and Beijing are inching towards a resolution in their trade war. With Brexit on the back burner, City investors are refocusing on the US-China trade talks....and welcoming upbeat comments from Treasury secretary Steven Mnuchin over the weekend. Mnuchin told reporters in Washington that “we’re hopefully getting very close to the final round of these issues,” signalling that further face-to-face talks could be imminent. Perhaps significantly, Mnuchin also that the U.S. is open to facing “repercussions” if it doesn’t live up to its commitments in a potential trade deal with China. That could be a sign that the deal being drawn up has teeth. As Mnuchin put it: There are certain commitments that the United States is making in this agreement, and there are certain commitments that China is making. “I would expect that the enforcement mechanism works in both directions, that we expect to honour our commitments, and if we don’t, there should be certain repercussions, and the same way in the other direction. We’ve been here before, of course -- optimism doesn’t always translate into concrete action. But both sides are keen to get a deal, especially after last Friday’s import and export data showed US trade with China has slumped over 11% this year. Mnuchin’s comments sent shares higher in Asia, with China’s Shanghai Composite index up 0.6%. Japan’s Nikkei surged by 1.4%, hitting its highest level since last December. European markets are expected to post gains today too: Also coming up today Goldman Sachs releases its latest financial results before Wall Street opens; analysts predict that revenue fell 10% year-on-year in the first quarter of 2019. Plus, the latest Empire manufacturing report will show how factories in New York state are faring this month, and whether trade tensions are hurting. The agenda (estimate): Goldman Sachs results for Q1 2019 : The New York Empire State Manufacturing Index released 2161 false false A US cargo ship berthing at a port in Qingdao in China’s eastern Shandong province earlier this month. Treasury Secretary Steven Mnuchin at the International Monetary and Financial Committee conference at the World Bank/IMF Spring Meetings in Washington on .

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