Global stocks advance after the European Union agreement with Trump
The stock markets in Europe and Asia rose sharply on Monday after the European Union reached a trade agreement with the Trump administration before the deadline for this week.
US futures and oil prices rose before commercial talks in Stockholm between US and Chinese officials.
Performing European markets
The German DAX index rose 0.6 percent to 24359.81 points, while the CAC 40 in Paris advanced 0.8 percent to 7900.48 points. The British Fotsi 100 index rose 0.3 percent to 9148.34 points.
The agreement between the European Union and US President Donald Trump provides for the imposition of customs duties by 15 percent on most of the European Union exports to the United States. Before Trump began to increase the definitions, the level was 1 per cent.
The announcement of the agreement came after Trump and European Commission President Ursula von der Line met for a short period at the President’s Golf Stadium in Turnberry Paskotland. This agreement avoids imposing much higher import fees on both sides, which could have occurred in economies around the world.
The performance of Asian markets
The Nikai 225 index in Tokyo lost 1.1 percent to reach 40998.27 points after doubts about what exactly involved the commercial truce that took place last week between Japan and Trump, especially the pledge of Japan to invest $ 550 billion in the United States.
An official insisted on not disclosing his identity to detail the conditions of the talks, that the conditions of the deal are still under negotiation and the official nature has not been added to anything in writing. The official suggested that the goal is for a fund worth $ 550 billion in investments, directed by Trump.
The Hang Singh Index in Hong Kong rose 0.7 percent to 25563.32 points, while the Shanghai Boat Index rose 0.1 percent to 3597.94 points. 1 The Taiwan Tae X index rose 0.2 percent.
CK Hachcson, a mass in Hong Kong, sells ports on Panama channel, that it may seek to include a Chinese investor to buyer consortium, in a move that might satisfy Beijing, but it may also bring more American scrutiny of a geopolitical risky deal. CK Hachcison shares fell 0.6 percent on Monday in Hong Kong.
Elsewhere in Asia, the Cosby index in South Korea rose 0.4 percent to 3209.52 points, while the Australian S&P/ASX 200 ASX index rose 0.4 percent to 8697.70 points. The Indian Sensx Index fell 0.3 percent.
The markets were closed in Thailand because of a vacation.
The performance of American markets and companies ’results
On Friday, the Standard & Poor’s 500 index increased by 0.4 percent to 6388.64 points, recording its highest level ever for the fifth time in a week. The Dow Jones Industrial Index rose 0.5 per cent to 44901.92 points, while the Nasdaq Boat Index added 0.2 percent, closing at 21108.32 points, exceeding its own standard number.
Decrez, the UGG and HOKA shoe, jumped by 11.3 percent after announcing more powerful profits and revenues for the spring than the analysts expected. Its growth was particularly strong outside the United States, as revenues increased by approximately 50 percent.
But Intel’s share fell 8.5 percent after announcing a loss in the last quarter, while analysts expected profits. The troubled chips industry also said it would reduce thousands of jobs and will cancel other expenses in an attempt to change their chances. Intel, who helped launch Silicon Valley as a technology center in the United States, has left its competitors such as “Inviteia” and “EMD” while the demand for artificial intelligence chips rises.
Companies are under pressure to achieve strong profits to justify the great gains in their stock prices, which have risen to consecutive records in recent weeks.
Commercial hopes and federal meeting
Wall Street has strongly increased hopes that Trump would reach commercial agreements with other countries that reduce the proposed customs duties, as well as the risks that may cause stagnation and an increase in inflation. Trump recently announced deals with Japan and the Philippines, and the next big date is approaching Friday, August 1.
Regardless of commercial talks, this week will also witness a meeting of the Federal Reserve on interest rates. On Thursday, Trump urged the federal to reduce interest rates, which implicitly indicated that he could save the US government money to pay its debts.
The head of the Federal Reserve, Jerome Powell, said he is waiting for more data on how Trump’s definitions affect the economy and inflation before taking any step. The expectations for Wall Street are that the “Federal Reserve” will wait until September to resume low interest rates.
Oil and currencies prices
In other dealings early on Monday, the price of US oil crude rose 40 cents to $ 65.56 a barrel. Brent crude, the international standard, added 40 cents to $ 68.06 a barrel.
The dollar rose to 147.85 yen from 147.71 yen. The euro fell to $ 1.1719 from $ 1.1758.
