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Stocks extended gains in Europe while U.S. equity futures turned higher after a news report that China and America were moving closer to a trade deal.
The Stoxx Europe 600 index jumped and contracts on the three main American index futures rebounded after the Bloomberg News report. Treasuries erased earlier gains.
The moves lessened a risk-off tone that had engulfed global markets on Tuesday and early Wednesday in Asia on heightened uncertainty over whether the Trump administration was going to impose new tariffs on Chinese imports on Dec. 15. Sentiment had also been hampered by a vote in the U.S. House to sanction Chinese officials for human rights abuses, which Beijing threatened to retaliate against.
Here are some key events coming up this week:
- Germany releases factory-order data for October on Thursday.
- India’s central bank reviews monetary policy on Thursday.
- Saudi Aramco’s initial public offering is scheduled to be priced on Thursday, with Riyadh looking to raise more than $25 billion.
- Friday brings the U.S. jobs report, where estimates are for non-farm payrolls to rise by 190,000 in November.
Stocks
- The Stoxx Europe 600 Index jumped 0.9% as of 9:12 a.m. London time.
- Futures on the S&P 500 Index jumped 0.4%.
- The U.K.‘s FTSE 100 Index climbed 0.3%.
- The MSCI World Index of developed countries rose 0.1%.
- The MSCI Emerging Market Index dipped 0.3%
Currencies
- The Bloomberg Dollar Spot Index was little changed.
- The euro decreased 0.1% to $1.1074.
- The British pound gained 0.4% to $1.305.
- The Japanese yen weakened 0.1% to 108.73 per dollar.
Bonds
- The yield on 10-year Treasuries jumped two basis points to 1.73%.
- The yield on two-year Treasuries rose one basis point to 1.55%.
- Germany’s 10-year yield rose one basis point to -0.34%.
- Britain’s 10-year yield climbed one basis point to 0.684%.
- Japan’s 10-year yield declined two basis points to -0.038%.
Commodities