- Stock markets around the world are in rally mode, posting big gains following a temporary ceasefire in the trade spat between the U.S. and China.
- President Trump agreed to postpone an increase in the tariff rate on $200B worth of Chinese imports to 25% (from 10%) that was scheduled for Jan. 1, while China agreed to resume purchases of some U.S. farm, energy and industrial commodities.
- The trade detente relies on progress in talks that both sides aim to complete in the next 90 days covering broader issues, including forced technology transfer, intellectual property and cyber theft.
- "It's an incredible deal. It goes down, certainly, if it happens, it goes down as one of the largest deals ever made," Trump said while en route to Joint Base Andrews in Maryland.
- Asia: Nikkei +1%; Hang Seng +2.6%; Shanghai +2.6%.
- Europe: FTSE 100 +2.2%. CAC 30 +1.7%. DAX +2.5%.
- U.S. futures: Dow +2%; S&P 500 +1.8%; Nasdaq +2.6%. Oil is up 4.3% at $53.10/bbl, gold is 0.8% higher at $1236/ounce and the 10-year Treasury yield is up 2 bps to 3.03%.
- ETFs: SPY, QQQ, DIA, SH, SSO, VOO, SDS, IVV, SPXU, TQQQ, UPRO, PSQ, SPXL, RSP, SPXS, SQQQ, QID, DOG, QLD, DXD, UDOW, SDOW, VFINX, EPS, DDM, QQEW, QQQE, SPLX, SFLA, QQXT, SPUU, SPXE, UDPIX, OTPIX, RYARX, SPXN, SPDN, SPXT, SPXV, FXI, KWEB, ASHR, YINN, CAF, EWH, CQQQ, YANG, MCHI, GXC, CYB, FXP, PGJ, CN, KBA, TAO, CHIQ, HAO-OLD, CHIX, TDF, QQQC, CNY, PEK, CHN, CWEB, CXSE, CHAU, XPP, CNXT, ASHS, AFTY, CHAD, FCA, YAO, YXI, FXCH, ECNS, CHIM, CHII, CHIE, KFYP, EWHS, FCHI, OBOR, ASHX, CNYA, FHK, HAHA, XINA, CNHX, KGRN, FLCH, FLHK, WCHN
- Now read: Sentiment Speaks: Isn't It Amazing How The Fed Controls The Market?
Original article