Asian stocks rise on hopes for U.S.-China trade, monetary stimulus

European stocks closed lower as London lags financials feather

European stocks closed lower as London lags; financials feather

However, as for German government bond yields, they declined from -0.36 to reach a low of -0.75 on September 3 to now trade at -0.558, as the bond market is pretty sure the European Central Bank will indeed do more to stimulate the economy.

MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.4 per cent and Japan's Nikkei stock index rose 0.88 per cent.

China, the chief goal of U.S. President Donald Trump's drive to lift tariffs and rewrite world buying and selling guidelines, took its personal steps final week to loosen financial institution credit score, and practically 20 different central banks have reduce charges or loosened coverage in latest weeks.

US data on Wednesday showed that USA producer prices unexpectedly rose in August and underlying producer prices rebounded, but that data will not change financial market expectations that the Federal Reserve will cut interest rates again next week to support a slowing economy.

Any easing of concerns about the bruising trade war is likely to help equities extend their rally this month after a tumultuous August. "Some in the market react to small changes in negotiating positions because Trump is negotiating in the open".

The Dow Jones Industrial Average rose 66.38 points, or 0.25%, to 26,975.81, the S&P 500 gained 8.19 points, or 0.27%, to 2,987.58 and the Nasdaq Composite added 45.90 points, or 0.57%, to 8,130.05.

The dollar briefly rose to a six-week high of 108.04 yen JPY=EBS before paring gains slightly to trade up 0.12% at 107.36 yen.

The 10-year Treasury note yield was up 1.1 basis points to 1.713%, around its highest levels in a month.

Trump's goodwill gesture has come a day after China announced exemption for some USA products like industrial grease from a recent round of tariffs.

Spot gold fell 0.29 per cent to $1,493.00 per ounce.

By the end of trading, the Stoxx 600 was up by 0.10% at 386.04 while France's CAC 40 had added 0.08% to 5,593.21, Germany's Dax had run up 0.35% to 12,268.71 and London's FTSE 100 was 0.44% higher at 7,267.95.

The bond moves come as market participants look toward Thursday's European Central Bank meeting, which is widely expected to deliver a cut to interest rates and point to further bond-buying stimulus.

In currencies, the euro weakened to a one-week low against the dollar ahead of the European Central Bank meeting, while the dollar was on track for its best day in almost two weeks against a basket of major currencies.

USA crude ticked up 0.77 per cent to US$56.18 in Asia today. Futures tumbled more than 2% on Wednesday following a report that Trump is considering easing sanctions on Iran, which could potentially boost oil supplies. OPEC also said all producers have a shared responsibility to support the oil market.

Sterling also dipped after a Scottish court ruled on Wednesday that Prime Minister Boris Johnson's suspension of the British parliament was unlawful, prompting immediate calls for lawmakers to return to work as the government and parliament battle over the future of Brexit.

Political wrangling over the terms of the UK's exit from the European Union has weighed on the outlook for the British pound.

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