By Karin Strachecker
London (Reuters) – Hopes for progress in Sino-US trade talks and expectations for policy stimulus from central banks raised world reserves to 2 – the high half a month on Monday, although European profits were diminished by concerns about the prospects of the automotive sector.
The MSCI index for the All-Country World rose 0.3 percent after Japan closed 1
The trade talks between the United States and China will be resumed this week, with US President Donald Trump saying he could extend the deadline for the deal on March 1. The two countries reported progress during last week's talks in Beijing. But the mood in Europe was suppressed, where the pan-European stock index climbed to a new four-month high, but the profits were limited by the automotive sector that was affected by the data show that Chinese car sales plunged 16% in January, their seventh consecutive month of decline.
The Autos index for the European economy has fallen by 0.9%, also worried that US Trade Department report to President Trump may unleash steep tariffs for imported cars and auto parts. German stocks fell by 0.3%.
Trump has 90 days to decide whether to take action as recommended. "Trading optimism has been strong, but the underlying economic data is much weaker – so you have some pulling and pulling factors," said David Vicks, senior portfolio manager at Russell Investments, adding that the focus is now on on flash PMI data to be released later in the week
"As the backward of the December lows fades … now the basics are confirmed," added Viktors.
Recent soft economic data fueled expectations , that the most powerful central banks in the world would
The need for stimulus was highlighted by data showing a sharp downturn in Singapore's exports and a major drop in foreign orders for Japanese machinery
] Beijing is already taking action with Chinese banks, which are making the latest record credits in January in an attempt to accelerate slow investment.
The E-Mini futures on the flats were flat, as trade was cut from a break on US markets. And Nasdaq boasted their eighth consecutive weekly bets gains that the US and China would have reached an agreement to resolve their long-running trade war. () The minutes of the last Fed policy meeting should be published on Wednesday and should provide more guidance on the likelihood of rising interest rates this year. It is also said that the bank will maintain much greater balance than previously planned.
"Given the range of speakers after the January meeting to support" patience, "the Fed's minutes should repeat the overall message, analysts at TD
The dollar was stable against the yen at 110.57 after retreating from the two-month peak of 111.12.
British Prime Minister Teresa May plans to talk with each EU leader and European Commission chief to seek changes to his deal Withdrawal from the EU after another loss by its own deputies last week.
19659004] All this left the dollar lower at 96,835 for a basket of currencies and away from the top of the weekend from 97,368.
On oil commodity markets, oil prices reached its highest value for the year, backed by OPEC Supply Acquisitions and US sanctions against Iran and Venezuela. futures rose by a quarter percent to $ 66.30.