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Asian Equities Jump as Trade Negotiations Continue in Washington This Week

Published 02/17/2019, 09:40 PM
© Reuters.
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Investing.com - Asian equities rose in morning trade on Monday amid hopes for more progress in U.S.-China trade negotiations continuing in Washington this week.

The Shanghai Composite and the Shenzhen Component jumped 1.8% and 2.5% respectively by 9:30 PM ET (02:30 GMT). Hong Kong’s Hang Seng Index was also up 1.6%.

Japan’s Nikkei 225 gained 1.8%. Index heavyweight Fast Retailing (T:9983) surged more than 4%. Meanwhile, South Korea’s KOSPI edged up 0.5%.

Down under, Australia’s ASX 200 rose 0.3%. Oil companies outperformed, with Santos (AX:STO) rising 1.5%, while Woodside Petroleum (AX:WPL) and Beach Energy (AX:BPT) also gained more 2%.

News that trade talks between China and the U.S. will continue this week in Washington was cited as supporting Asian stocks today. The two sides are racing to reach a deal that would avert a tariff increase on Chinese goods by March 1.

U.S. Trade Representative Robert Lighthizer and China’s vice premier and chief trade negotiator, Liu He, will lead the next round of U.S.-China trade talks in Washington this week.

The latest discussion ended in Beijing last week, with both sides reporting progress over the weekend.

U.S. President Donald Trump said at a news conference that the talks is “going extremely well,” and that Washington was closer than ever before to "having a real trade deal" with Beijing, although the discussions were “very complicated.”

“Big progress being made on soooo many different fronts!” The President said on Twitter on Sunday.

The President added that he would remove tariffs if the two sides could reach an agreement.

Chinese President Xi Jinping also sounded upbeat, saying the latest round of meetings “achieved important progress in another step,” according to China’s Xinhua News Agency.

U.S. markets will remain closed on Monday for Washington's Birthday, more widely known as President’s Day.

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