FTSE gains on Sino-US talks

A fresh round of Sino-US talks is boosting Asian and European markets this morning, raising hopes that a resolution to the ongoing dispute and the removal of tariffs that are in place will go some way to slow down the gradual weakening of the two countries’ economies. Positive comments from US negotiators leaving Beijing helped global stock markets but a resolution is not yet in hand and instead talks will continue in Washington next week. 

Miners rally despite force majeure

Miners were among the main beneficiaries of the trade talks as they depend on the reestablishment of tariff-free trade flows in and out of China. Glencore, Rio Tinto and Anglo American rallied more than 2% this morning, leading the FTSE risers’ table, and Rio Tinto managed to avoid being knocked down for declaring force majeure on some of its iron ore contracts.

Pound slides on faux Brexit date

On the day that Britain was meant to be leaving the EU, UK lawmakers are due to vote on the withdrawal agreement that will set out the terms of Brexit. The contentious agreement has drawn criticism for being a 'blindfold Brexit'. The pound is mostly keeping calm and carrying on, only marginally weaker against the dollar and the euro as traders try and just get through the next few days that will eventually have to lead to a Brexit resolution of some kind.

Build your confidence risk free
Join our live webinars for the latest analysis and trading ideas. Register now

StoneX Financial Ltd (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.

No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

For further details see our full non-independent research disclaimer and quarterly summary.