Asia equities extended a global rally on Tuesday, with the US decision to no longer designate China a currency manipulator a further sign of easing tensions between the economic titans.

The Treasury announcement came days before the two sides are due to sign off on the first part of a wider trade agreement that has helped fan a rally in world markets.

It also led to a sell-off in safe-haven assets with the yen at a seven-month low and gold down almost one per cent, while oil was also struggling with the <a href="https://www.wionews.com/opinions/wion-edit-us-iran-conflict-whats-next-273195">US-Iran</a> flare-up seemingly in the rear window for investors.

Asia was given a firm lead from Wall Street, where all three main indexes ended higher with the Nasdaq and S&amp;P 500 hitting fresh records on reports the US was about to remove the manipulator label from China.

<a href="https://www.wionews.com/business-economy/global-stocks-rattled-after-donald-trump-says-no-deadline-on-us-china-trade-deal-266025">Donald Trump</a> accused Beijing in August of weakening its yuan currency "to steal our business and factories", re-stating a long-standing grievance.&nbsp;

But soon after the end of trade on Monday, the Treasury said in its semi-annual report to Congress that the unit had strengthened and Beijing was no longer keeping it artificially weak.

The yuan jumped more than one per cent at one point Tuesday before easing slightly. The currency is up more than four per cent from an 11-year low touched in September.&nbsp;

"The yuan is the purest and best barometer to gauge the market's view on <a href="https://www.wionews.com/opinions/us-china-trade-conflict-lack-of-trust-hobbling-the-ability-to-reach-a-deal-198533">US-China</a> trade tension," said AxiTrader's Stephen Innes. "With the yuan strengthening ahead of the 'phase one' deal signing, it's indicating the potential for further improvement in trade relations."

The US reversal of China's status as a manipulator "is a most precise and definitive de-escalation of trade tension to date and provides a less congested road as we pivot to phase two of the broader trade agreement", he added.

<a href="https://www.wionews.com/sports/more-tokyo-olympic-events-rescheduled-due-to-heat-concern-266444">Tokyo</a> was among the biggest gainers, rising 0.7 per cent by the break as the dollar advanced against the yen owing to a rush out of safety giving a boost to Japan's exporters.

Hong Kong and Shanghai both gained 0.2 per cent, while Singapore put on 0.3 per cent and Seoul 0.7 per cent.

Sydney was up 0.6 per cent, Wellington and Taipei both gained 0.5 per cent and Jakarta put on 0.2 per cent.

Improving confidence also hit gold, which is a popular go-to asset in times of turmoil. The yellow metal last week broke $1,600 for the first time in seven years on the Iran crisis but the lowering of expectations for a conflict with the US has seen it tumble more than four per cent from its recent high.

The improving China-US outlook saw it drop by 0.9 per cent on Tuesday.

As well as Wednesday's signing, investors are also looking forward to corporate earnings season, which kicks off in earnest this week with the release of reports from top banks including Citibank, Goldman Sachs, and JP Morgan.

"Our expectation is a solid earnings season nothing extraordinary but nothing really terrible," Kristina Hooper, chief global market strategist at Invesco told Bloomberg TV.&nbsp;

"The environment is so accommodative that it really is supportive of risk assets, including equities, even if we have a lacklustre earnings season."

Asia equities extended a global rally on Tuesday, with the US decision to no longer designate China a currency manipulator a further sign of easing tensions between the economic titans.

Asia equities extended a global rally on Tuesday, with the US decision to no longer designate China a currency manipulator a further sign of easing tensions between the economic titans. The Treasury announcement came days before the two sides are due to sign off on the first part of a wider trade agreement that has helped fan a rally in world markets. It also led to a sell-off in safe-haven assets with the yen at a seven-month low and gold down almost one per cent, while oil was also struggling with the US-Iran flare-up seemingly in the rear window for investors. Asia was given a firm lead from Wall Street, where all three main indexes ended higher with the Nasdaq and S&P 500 hitting fresh records on reports the US was about to remove the manipulator label from China. Donald Trump accused Beijing in August of weakening its yuan currency "to steal our business and factories", re-stating a long-standing grievance. But soon after the end of trade on Monday, the Treasury said in its semi-annual report to Congress that the unit had strengthened and Beijing was no longer keeping it artificially weak. The yuan jumped more than one per cent at one point Tuesday before easing slightly. The currency is up more than four per cent from an 11-year low touched in September. "The yuan is the purest and best barometer to gauge the market's view on US-China trade tension," said AxiTrader's Stephen Innes. "With the yuan strengthening ahead of the 'phase one' deal signing, it's indicating the potential for further improvement in trade relations." The US reversal of China's status as a manipulator "is a most precise and definitive de-escalation of trade tension to date and provides a less congested road as we pivot to phase two of the broader trade agreement", he added. Tokyo was among the biggest gainers, rising 0.7 per cent by the break as the dollar advanced against the yen owing to a rush out of safety giving a boost to Japan's exporters. Hong Kong and Shanghai both gained 0.2 per cent, while Singapore put on 0.3 per cent and Seoul 0.7 per cent. Sydney was up 0.6 per cent, Wellington and Taipei both gained 0.5 per cent and Jakarta put on 0.2 per cent. Improving confidence also hit gold, which is a popular go-to asset in times of turmoil. The yellow metal last week broke $1,600 for the first time in seven years on the Iran crisis but the lowering of expectations for a conflict with the US has seen it tumble more than four per cent from its recent high. The improving China-US outlook saw it drop by 0.9 per cent on Tuesday. As well as Wednesday's signing, investors are also looking forward to corporate earnings season, which kicks off in earnest this week with the release of reports from top banks including Citibank, Goldman Sachs, and JP Morgan. "Our expectation is a solid earnings season nothing extraordinary but nothing really terrible," Kristina Hooper, chief global market strategist at Invesco told Bloomberg TV. "The environment is so accommodative that it really is supportive of risk assets, including equities, even if we have a lacklustre earnings season."

Asian markets, yuan rise as US-China tensions ease further

&nbsp;A broad gauge of <a href="https://www.wionews.com/business-economy/global-markets-china-lifts-asian-shares-oil-up-on-drawdowns-mideast-tensions-270929">Asian share </a>markets rose to an 18-month high on Monday as Chinese equities gained, while oil touched three-month highs on a combination of US&nbsp;crude inventory drawdowns, trade optimism and unrest in the Middle East.

But European shares were expected to open lower as investors take a breather from recent rallies.

In early European trade, the pan-region Euro Stoxx 50 futures were down 0.16 per cent&nbsp;at 3,764, German DAX futures were down 0.22 per cent&nbsp;at 13,291.5 and FTSE futures were down 0.11&nbsp;per cent&nbsp;at 7,578.5.

MSCI's broadest index of Asia-Pacific shares outside Japan rose to its highest since June 19, 2018, before trimming gains. It was last up by 0.05 per cent.

Chinese blue chips, which had started the day lower, were up 1.13&nbsp;per cent&nbsp;in afternoon trade, bolstered by a report that 2019 retail sales are forecast to rise 8&nbsp;per cent&nbsp;and expectations that a new benchmark for floating-rate loans could lower borrowing costs and boost flagging economic growth.

But Australian shares finished 0.25 per cent&nbsp;lower as investors continued to consolidate recent gains.

Japan's Nikkei stock index finished its last trading day of the year down 0.76 per cent. The index gained 18.2per cent&nbsp;in 2019 after dropping 12.8 per cent&nbsp;last year. Easing trade war worries and reduced uncertainty over the United Kingdom's plans to leave the European Union after British elections returned a strong Conservative majority have offered a lift to global equities this month, helping the broad MSCI Asia index rise more than 6 per cent&nbsp;and putting it on track for its strongest month since January.

Kay Van-Petersen, the global macro strategist at <a href="https://www.wionews.com/business-economy/global-markets-china-lifts-asian-shares-oil-up-on-drawdowns-mideast-tensions-270929">Saxo Capital Markets</a>, said that limited liquidity near the year-end and the easing of US-China trade and Brexit uncertainties has "just left us drifting up higher. So even if there is a pullback.&nbsp;I don't think it's going to be significant by any means."

Global equity markets gained late last week, with the S&amp;P 500 and the Dow Jones Industrial Average closing at records on Friday.

The Dow ended 0.08 per cent&nbsp;higher at 28,645.26 and the S&amp;P edged up just 0.11 points to 3,240.02. The Nasdaq Composite lost steam at the close, falling 0.17 per cent&nbsp;to 9,006.62.

Oil also gained on Friday, with prices posting their fourth consecutive weekly gain to steady around their highest in three months.

On Monday, global benchmark Brent crude was up 0.31per cent&nbsp;to $68.37 per barrel, while US&nbsp;<a href="https://www.wionews.com/business-economy/crude-oil-prices-fall-1-on-fears-for-global-economy-233148">West Texas Intermediate</a> crude added 0.13 per cent&nbsp;to $61.80, reversing an earlier decline.

Oil's gains followed news of <a href="https://www.wionews.com/world/25-isis-terrorists-killed-in-us-airstrikes-in-iraq-175533">US&nbsp;airstrikes</a> in Iraq and Syria against Kataib Hezbollah, an Iran-backed militia group. US&nbsp;officials said Sunday that the attacks were successful, but warned that "additional actions" may be taken to defend US&nbsp;interests.

But Stephen Innes, strategist at AxiTrader, said that the rise of shale oil production in the United States would offset any geopolitical risks.

"Shale can really ramp up more volumes to accommodate any shortfall that could possibly be triggered by an escalation in Syria," he said, adding that an upsurge in populism in Iraq posed a larger risk to markets.

Iraq's oil ministry said on Sunday that the halting of oil production at Iraq's southern Nassiriya oilfield by protestors would not affect the country's exports and operations.

Oil prices were also supported by a bigger-than-expected decline in crude inventories in the United States, the world's biggest fuel consumer. Stockpiles fell by 5.5 million barrels in the week to December&nbsp;20, far exceeding a 1.7-million-barrel drop forecast in a Reuters poll, the government data showed on Friday.

Gold also continued its run-up, boosted by a weak dollar, after posting its best week in more than four months on Friday amid thin trading volumes.

The precious metal on Monday rose 0.3 per cent&nbsp;to $1,515 per ounce on the spot market.

In the currency markets, the dollar was 0.27&nbsp;per cent&nbsp;lower against the yen at 109.11 and the euro was up 0.23&nbsp;per cent&nbsp;on the day at $1.1201.

The dollar index, which tracks the greenback against a basket of six major currencies, was down 0.14&nbsp;per cent&nbsp;to 96.786.

The yield on benchmark 10-year Treasury notes was at 1.877 per cent&nbsp;compared with its US&nbsp;close of 1.873&nbsp;per cent&nbsp;on Friday, while the two-year yield edged down to 1.5812 per cent&nbsp;compared with a US&nbsp;close of 1.589 per cent.

A broad gauge of Asian share markets rose to an 18-month high on Monday as Chinese equities gained, while oil touched three-month highs on a combination of US crude inventory drawdowns, trade optimism and unrest in the Middle East.

A broad gauge of Asian share markets rose to an 18-month high on Monday as Chinese equities gained, while oil touched three-month highs on a combination of US crude inventory drawdowns, trade optimism and unrest in the Middle East. But European shares were expected to open lower as investors take a breather from recent rallies. In early European trade, the pan-region Euro Stoxx 50 futures were down 0.16 per cent at 3,764, German DAX futures were down 0.22 per cent at 13,291.5 and FTSE futures were down 0.11 per cent at 7,578.5. MSCI's broadest index of Asia-Pacific shares outside Japan rose to its highest since June 19, 2018, before trimming gains. It was last up by 0.05 per cent. Chinese blue chips, which had started the day lower, were up 1.13 per cent in afternoon trade, bolstered by a report that 2019 retail sales are forecast to rise 8 per cent and expectations that a new benchmark for floating-rate loans could lower borrowing costs and boost flagging economic growth. But Australian shares finished 0.25 per cent lower as investors continued to consolidate recent gains. Japan's Nikkei stock index finished its last trading day of the year down 0.76 per cent. The index gained 18.2per cent in 2019 after dropping 12.8 per cent last year. Easing trade war worries and reduced uncertainty over the United Kingdom's plans to leave the European Union after British elections returned a strong Conservative majority have offered a lift to global equities this month, helping the broad MSCI Asia index rise more than 6 per cent and putting it on track for its strongest month since January. Kay Van-Petersen, the global macro strategist at Saxo Capital Markets, said that limited liquidity near the year-end and the easing of US-China trade and Brexit uncertainties has "just left us drifting up higher. So even if there is a pullback. I don't think it's going to be significant by any means." Global equity markets gained late last week, with the S&P 500 and the Dow Jones Industrial Average closing at records on Friday. The Dow ended 0.08 per cent higher at 28,645.26 and the S&P edged up just 0.11 points to 3,240.02. The Nasdaq Composite lost steam at the close, falling 0.17 per cent to 9,006.62. Oil also gained on Friday, with prices posting their fourth consecutive weekly gain to steady around their highest in three months. On Monday, global benchmark Brent crude was up 0.31per cent to $68.37 per barrel, while US West Texas Intermediate crude added 0.13 per cent to $61.80, reversing an earlier decline. Oil's gains followed news of US airstrikes in Iraq and Syria against Kataib Hezbollah, an Iran-backed militia group. US officials said Sunday that the attacks were successful, but warned that "additional actions" may be taken to defend US interests. But Stephen Innes, strategist at AxiTrader, said that the rise of shale oil production in the United States would offset any geopolitical risks. "Shale can really ramp up more volumes to accommodate any shortfall that could possibly be triggered by an escalation in Syria," he said, adding that an upsurge in populism in Iraq posed a larger risk to markets. Iraq's oil ministry said on Sunday that the halting of oil production at Iraq's southern Nassiriya oilfield by protestors would not affect the country's exports and operations. Oil prices were also supported by a bigger-than-expected decline in crude inventories in the United States, the world's biggest fuel consumer. Stockpiles fell by 5.5 million barrels in the week to December 20, far exceeding a 1.7-million-barrel drop forecast in a Reuters poll, the government data showed on Friday. Gold also continued its run-up, boosted by a weak dollar, after posting its best week in more than four months on Friday amid thin trading volumes. The precious metal on Monday rose 0.3 per cent to $1,515 per ounce on the spot market. In the currency markets, the dollar was 0.27 per cent lower against the yen at 109.11 and the euro was up 0.23 per cent on the day at $1.1201. The dollar index, which tracks the greenback against a basket of six major currencies, was down 0.14 per cent to 96.786. The yield on benchmark 10-year Treasury notes was at 1.877 per cent compared with its US close of 1.873 per cent on Friday, while the two-year yield edged down to 1.5812 per cent compared with a US close of 1.589 per cent.

Global Markets: Asian shares at 18-month highs; Nikkei finishes year up 18%

Asian markets rose Friday as trade hopes were given a boost by Donald Trump's economic aide saying "enormous progress" had been made in talks with China, easing recent concerns that they were stumbling.

Hong Kong enjoyed a much-needed leg-up after a bruising week but sentiment remained fragile after the city endured another night of violent protest, with the transport network partially shut down and many businesses closed for the fifth day.

The broad regional gains came after top White House adviser Larry Kudlow that the long-awaited mini trade deal with China was on track as part of a wider pact.

"The deal is not complete but we've made enormous progress," he told reporters, adding that the talks were "coming down to the short strokes".

His comments&nbsp;follow a week of unease about the much-vaunted talks after Trump dismissed Chinese claims of a plan to roll back tariffs as the negotiations progress, while reports said Beijing was uneasy about some aspects of the developing deal.

And on Thursday, China's commerce ministry had said the US lifting of tariffs was a "condition" to reaching the preliminary deal,&nbsp;suggesting it was not imminent.

Xi's Hong Kong warning

"Maybe, just maybe, we are finally nearing&nbsp;a long-awaited indication from President Trump that the protracted period of market adversity is mercifully nearing its end," said AxiTrader chief&nbsp;Asia market strategist Stephen Innes.

But he added that "the big question should be about what comes next. How long will phase two take?"

He also pointed to "some recriminations, with the US claiming that China is delaying the deal, which would seem to play into the view that President Trump is under pressure, having effectively announced a deal a couple of weeks ago".

Tokyo went into the break 0.7 per cent higher, Sydney jumped 0.8 per cent, Seoul climbed one per cent and Singapore was up 0.1 per cent. Taipei, Wellington and Jakarta also posted healthy gains. Shanghai was up 0.4 per cent, boosted by the central bank's decision to pump $29 billion into the financial system.

Hong Kong added 0.4 per cent in early trade, having shed almost five per cent over the previous four days as the city was wracked by violent protests, with police saying the rule of law was on "the brink of total collapse".

The increasingly violent standoff has also fanned concerns about possible intervention by Beijing, with Xi Jinping warning Thursday that Hong Kong's cherished "one country, two systems" principle was being threatened by the protests, which are in their sixth month.

Oil prices were also given a lift by the trade optimism, which offset data showing another pick-up in US stockpiles

Asian markets rose Friday as trade hopes were given a boost by Donald Trump's economic aide saying "enormous progress" had been made in talks with China, easing recent concerns that they were stumbling.

Asian markets rose Friday as trade hopes were given a boost by Donald Trump's economic aide saying "enormous progress" had been made in talks with China, easing recent concerns that they were stumbling. Hong Kong enjoyed a much-needed leg-up after a bruising week but sentiment remained fragile after the city endured another night of violent protest, with the transport network partially shut down and many businesses closed for the fifth day. The broad regional gains came after top White House adviser Larry Kudlow that the long-awaited mini trade deal with China was on track as part of a wider pact. "The deal is not complete but we've made enormous progress," he told reporters, adding that the talks were "coming down to the short strokes". His comments follow a week of unease about the much-vaunted talks after Trump dismissed Chinese claims of a plan to roll back tariffs as the negotiations progress, while reports said Beijing was uneasy about some aspects of the developing deal. And on Thursday, China's commerce ministry had said the US lifting of tariffs was a "condition" to reaching the preliminary deal, suggesting it was not imminent. Xi's Hong Kong warning "Maybe, just maybe, we are finally nearing a long-awaited indication from President Trump that the protracted period of market adversity is mercifully nearing its end," said AxiTrader chief Asia market strategist Stephen Innes. But he added that "the big question should be about what comes next. How long will phase two take?" He also pointed to "some recriminations, with the US claiming that China is delaying the deal, which would seem to play into the view that President Trump is under pressure, having effectively announced a deal a couple of weeks ago". Tokyo went into the break 0.7 per cent higher, Sydney jumped 0.8 per cent, Seoul climbed one per cent and Singapore was up 0.1 per cent. Taipei, Wellington and Jakarta also posted healthy gains. Shanghai was up 0.4 per cent, boosted by the central bank's decision to pump $29 billion into the financial system. Hong Kong added 0.4 per cent in early trade, having shed almost five per cent over the previous four days as the city was wracked by violent protests, with police saying the rule of law was on "the brink of total collapse". The increasingly violent standoff has also fanned concerns about possible intervention by Beijing, with Xi Jinping warning Thursday that Hong Kong's cherished "one country, two systems" principle was being threatened by the protests, which are in their sixth month. Oil prices were also given a lift by the trade optimism, which offset data showing another pick-up in US stockpiles

Asian markets boosted by fresh China-US trade optimism

Asian markets mostly rose Tuesday on growing optimism that China and the US will sign a partial trade deal next month, while the pound held firm around five-month highs as dealers bet Britain will leave the EU with a Brexit agreement.

Donald Trump reinforced hopes Monday that he and Xi Jinping will be able to put pen to paper on a mini pact, saying China had already begun promised purchases of farm goods and that the first part of a wider commitment was almost complete.

"We'll be able to, we think, sign a completed document with China on phase one," Trump said at the White House, adding they would then move on to the next phases.

Trade Representative Robert Lighthizer said efforts were being made for it to be ready when the leaders meet at the APEC summit next month in Chile.

And Trump's economics adviser Larry Kudlow indicated tariffs planned to go into effect in December could be cancelled if the talks go well. 
Increasing signs of progress in the 18-month trade war provided some much-needed relief to global markets, with all three main indexes on Wall Street ending higher and Asia taking up the lead.

Hong Kong, Shanghai and Sydney each rose 0.2 per cent, Singapore put on 0.8 per cent and Seoul rallied 0.9 per cent. Wellington, Taipei, Manila and Jakarta were also higher. Tokyo was closed for a holiday.

"Unlike previous trade talks where expectations centred on the view that something is better than nothing, this time around there appears to be a tangible and workable roadmap in place," said AxiTrader senior market analyst Stephen Innes.

'On the same page'

He said this was "supported by official confirmation that the US and China were both on the same page about the intent to work towards phase one of a 'deal' by mid-November".

The "fact that phase two is even being discussed at this time... suggests that both the US and China may have finally found a bridge that isn't too far".

Traders are also keeping watch on events in London, where Boris Johnson will try on Tuesday to push his Brexit deal with the EU through parliament before next Thursday's deadline.

Sterling rallied Monday to $1.3013 -- its highest since May -- but ticked back after House of Commons Speaker John Bercow refused the prime minister's request to put his bill to MPs.

On Monday it edged back up against the dollar and euro. 
And while many lawmakers say they need more time to read through the details, there is a growing expectation that the government can muster enough support to eventually push the bill through later Tuesday.

Still, with the vote likely to be tight, traders are moving cautiously.

"While markets haven't seen fit to reverse last week's optimism that saw sterling smartly higher, they aren't yet prepared to take the pound up to the next level that successful passage of the Brexit agreement would presumably entail," said Ray Attrill at National Australia Bank.

Key figures around

Hong Kong - Hang Seng: UP 0.2 per cent at 26,779.16 
Shanghai - Composite: UP 0.2 percent at 2,944.26 
Tokyo - Nikkei 225: Closed for a holiday 
Pound/dollar: UP at $1.2982 from $1.2960 at 2100 GMT 
Euro/pound: DOWN at 85.91 pence from 86.03 pence 
Euro/dollar: DOWN at $1.1157 from $1.1145&nbsp; 
Dollar/yen: UP at 108.69 yen from 108.60 yen 
West Texas Intermediate: UP 16 cents at $53.47 per barrel 
Brent North Sea crude: UP 12 cents at $59.08 per barrel 
New York - Dow: UP at 0.2 percent at 26,827.64 (close) 
London - FTSE 100: UP 0.2 percent at 7,163.64 (close)

Asian markets mostly rose Tuesday on growing optimism that China and the US will sign a partial trade deal next month, while the pound held firm around five-month highs as dealers bet Britain will leave the EU with a Brexit agreement.

Asian markets mostly rose Tuesday on growing optimism that China and the US will sign a partial trade deal next month, while the pound held firm around five-month highs as dealers bet Britain will leave the EU with a Brexit agreement. Donald Trump reinforced hopes Monday that he and Xi Jinping will be able to put pen to paper on a mini pact, saying China had already begun promised purchases of farm goods and that the first part of a wider commitment was almost complete. "We'll be able to, we think, sign a completed document with China on phase one," Trump said at the White House, adding they would then move on to the next phases. Trade Representative Robert Lighthizer said efforts were being made for it to be ready when the leaders meet at the APEC summit next month in Chile. And Trump's economics adviser Larry Kudlow indicated tariffs planned to go into effect in December could be cancelled if the talks go well. Increasing signs of progress in the 18-month trade war provided some much-needed relief to global markets, with all three main indexes on Wall Street ending higher and Asia taking up the lead. Hong Kong, Shanghai and Sydney each rose 0.2 per cent, Singapore put on 0.8 per cent and Seoul rallied 0.9 per cent. Wellington, Taipei, Manila and Jakarta were also higher. Tokyo was closed for a holiday. "Unlike previous trade talks where expectations centred on the view that something is better than nothing, this time around there appears to be a tangible and workable roadmap in place," said AxiTrader senior market analyst Stephen Innes. 'On the same page' He said this was "supported by official confirmation that the US and China were both on the same page about the intent to work towards phase one of a 'deal' by mid-November". The "fact that phase two is even being discussed at this time... suggests that both the US and China may have finally found a bridge that isn't too far". Traders are also keeping watch on events in London, where Boris Johnson will try on Tuesday to push his Brexit deal with the EU through parliament before next Thursday's deadline. Sterling rallied Monday to $1.3013 -- its highest since May -- but ticked back after House of Commons Speaker John Bercow refused the prime minister's request to put his bill to MPs. On Monday it edged back up against the dollar and euro. And while many lawmakers say they need more time to read through the details, there is a growing expectation that the government can muster enough support to eventually push the bill through later Tuesday. Still, with the vote likely to be tight, traders are moving cautiously. "While markets haven't seen fit to reverse last week's optimism that saw sterling smartly higher, they aren't yet prepared to take the pound up to the next level that successful passage of the Brexit agreement would presumably entail," said Ray Attrill at National Australia Bank. Key figures around Hong Kong - Hang Seng: UP 0.2 per cent at 26,779.16 Shanghai - Composite: UP 0.2 percent at 2,944.26 Tokyo - Nikkei 225: Closed for a holiday Pound/dollar: UP at $1.2982 from $1.2960 at 2100 GMT Euro/pound: DOWN at 85.91 pence from 86.03 pence Euro/dollar: DOWN at $1.1157 from $1.1145 Dollar/yen: UP at 108.69 yen from 108.60 yen West Texas Intermediate: UP 16 cents at $53.47 per barrel Brent North Sea crude: UP 12 cents at $59.08 per barrel New York - Dow: UP at 0.2 percent at 26,827.64 (close) London - FTSE 100: UP 0.2 percent at 7,163.64 (close)

Asian markets lifted by China-US trade hopes, pound stands ground

Asian markets rose Thursday but investors moved cautiously as they sifted through conflicting reports about the outlook for upcoming China-US trade talks.

Global investors have been broadly upbeat in recent weeks that the meeting in Washington between top-level representatives would see at least some progress.

But with the much-anticipated gathering due to start within hours, Hong Kong's South China Morning Post reported pre-meeting discussions had not made any progress on key areas such as forced technology transfers and would be cut in half to just one day.

That came after Wall Street's three main indexes had ended with healthy gains on reports that a pared-down deal was still possible, with Beijing boosting agricultural purchases and the US delaying the imposition of new tariffs next week.

Tensions were already showing this week after the US unveiled restrictions on 28 Chinese entities over human rights violations in Xinjiang province and imposed visa restrictions on some officials, while a report said the White House was considering curtailing US investment in the country.

For its part, sources were reported to have said China had narrowed the issues it was willing to discuss as it felt in a stronger position owing to Donald Trump facing an impeachment inquiry at home and a weakening economy.

The SCMP report "reverses the trade optimism that was dominating overnight flow as investors were hoping that at minimum, some type of a deal could be forged", said Stephen Innes, Asia-Pacific market strategist at AxiTrader.

'Petals from a flower'

"So instead of debating how encompassing the deal might be, investors are now back to plucking petals from a flower guessing if there will be a deal at all."

On regional markets Shanghai and Hong Kong each rose 0.4 per cent while Tokyo went into the break 0.5 per cent higher. Sydney and Singapore each added 0.1 per cent, with Manila and Jakarta also higher.

Wellington was flat and Seoul sank 0.8 per cent.

In foreign exchanges, the dollar was lower against most other currencies after minutes from the Federal Reserve's September policy meeting showed it was growing concerned about the impact of Trump's trade war.

The central bank is expected to cut interest rates for the third time when the board meets again later this month.

The minutes "revealed greater concerns over downside risk from slowing global growth and trade tensions with subdued inflation also seen as a reason to cut", said Rodrigo Catril at National Australia Bank.

But he pointed out that "a few officials saw the need to push back against market Fed rate cut expectations".

Oil prices extended Wednesday's losses following data showing a bigger-than-forecast pick-up in US inventories that reinforced worries about the impact on demand from a global slowdown and trade frictions.

The data reversed a rally of more than one per cent in the commodity that came after Turkey launched an offensive against Kurdish militants in northern Syria.

Asian markets rose Thursday but investors moved cautiously as they sifted through conflicting reports about the outlook for upcoming China-US trade talks. Global investors have been broadly upbeat in recent weeks that the meeting in Washington between top-level representatives would see at least some progress.

Asian markets rose Thursday but investors moved cautiously as they sifted through conflicting reports about the outlook for upcoming China-US trade talks. Global investors have been broadly upbeat in recent weeks that the meeting in Washington between top-level representatives would see at least some progress. But with the much-anticipated gathering due to start within hours, Hong Kong's South China Morning Post reported pre-meeting discussions had not made any progress on key areas such as forced technology transfers and would be cut in half to just one day. That came after Wall Street's three main indexes had ended with healthy gains on reports that a pared-down deal was still possible, with Beijing boosting agricultural purchases and the US delaying the imposition of new tariffs next week. Tensions were already showing this week after the US unveiled restrictions on 28 Chinese entities over human rights violations in Xinjiang province and imposed visa restrictions on some officials, while a report said the White House was considering curtailing US investment in the country. For its part, sources were reported to have said China had narrowed the issues it was willing to discuss as it felt in a stronger position owing to Donald Trump facing an impeachment inquiry at home and a weakening economy. The SCMP report "reverses the trade optimism that was dominating overnight flow as investors were hoping that at minimum, some type of a deal could be forged", said Stephen Innes, Asia-Pacific market strategist at AxiTrader. 'Petals from a flower' "So instead of debating how encompassing the deal might be, investors are now back to plucking petals from a flower guessing if there will be a deal at all." On regional markets Shanghai and Hong Kong each rose 0.4 per cent while Tokyo went into the break 0.5 per cent higher. Sydney and Singapore each added 0.1 per cent, with Manila and Jakarta also higher. Wellington was flat and Seoul sank 0.8 per cent. In foreign exchanges, the dollar was lower against most other currencies after minutes from the Federal Reserve's September policy meeting showed it was growing concerned about the impact of Trump's trade war. The central bank is expected to cut interest rates for the third time when the board meets again later this month. The minutes "revealed greater concerns over downside risk from slowing global growth and trade tensions with subdued inflation also seen as a reason to cut", said Rodrigo Catril at National Australia Bank. But he pointed out that "a few officials saw the need to push back against market Fed rate cut expectations". Oil prices extended Wednesday's losses following data showing a bigger-than-forecast pick-up in US inventories that reinforced worries about the impact on demand from a global slowdown and trade frictions. The data reversed a rally of more than one per cent in the commodity that came after Turkey launched an offensive against Kurdish militants in northern Syria.

Asia markets rise as dealers nervously await start of trade talks

Asian markets mostly rose Tuesday after Wall Street finished a volatile quarter on a positive note, while China began a week-long break to celebrate the 70th birthday of the People's Republic.

Following Wall Street's lead, Tokyo climbed 0.7 per cent, helped by a drop in the yen and as investors shrugged off a Japanese survey that showed business confidence continued falling.

Buyer sentiment got a boost from comments from the Trump administration denying the likelihood of potential new US restrictions on Chinese investment, analysts said.

"<a href="Global Markets: Asian shares, Yuan off to calm start; focus on China">US stocks rebounded and the dollar topped 108 yen</a>" in a positive development for Japanese exporters, Seiichi Suzuki, senior market analyst at Tokai Tokyo Research Institute, told AFP.

Taipei and Singapore both jumped 1.0 per cent and gains were also seen in Wellington and Seoul. Manila and Bangkok were both down by around half a per cent while Jakarta was flat.

Investors are looking ahead to the resumption of talks between Beijing and Washington this month, said Quincy Krosby, chief market strategist of Prudential Financial.

The talks are "clearly a positive for the markets because the effect it has on the world economy is paramount going into the last quarter", Krosby said.

Markets in China and Hong Kong were closed for a public holiday as anniversary celebrations were underway in Beijing but with mass protests planned in the southern financial hub.

Sydney rose 0.3 per cent ahead of a central bank meeting, with a rate cut predicted by a Bloomberg survey of economists.

Oil prices had fallen sharply Monday following reports that Saudi Arabia restored oil production more quickly than expected following attacks on infrastructure.

The retreat in prices also came after remarks by Saudi leader Mohammed bin Salman endorsing a non-military solution for a longstanding conflict with Iran, which Saudi Arabia has blamed for the recent oilfield attacks.

He told a "60 minutes" war would be catastrophic for global growth.

"Oil supplies will be disrupted and oil prices will jump to unimaginably high numbers that we haven't seen in our lifetimes," the prince said.

On Tuesday Brent crude was still down but West Texas Intermediate rose 0.5 per cent.

Asian markets mostly rose Tuesday after Wall Street finished a volatile quarter on a positive note, while China began a week-long break to celebrate the 70th birthday of the People's Republic.

Asian markets mostly rose Tuesday after Wall Street finished a volatile quarter on a positive note, while China began a week-long break to celebrate the 70th birthday of the People's Republic. Following Wall Street's lead, Tokyo climbed 0.7 per cent, helped by a drop in the yen and as investors shrugged off a Japanese survey that showed business confidence continued falling. Buyer sentiment got a boost from comments from the Trump administration denying the likelihood of potential new US restrictions on Chinese investment, analysts said. "US stocks rebounded and the dollar topped 108 yen" in a positive development for Japanese exporters, Seiichi Suzuki, senior market analyst at Tokai Tokyo Research Institute, told AFP. Taipei and Singapore both jumped 1.0 per cent and gains were also seen in Wellington and Seoul. Manila and Bangkok were both down by around half a per cent while Jakarta was flat. Investors are looking ahead to the resumption of talks between Beijing and Washington this month, said Quincy Krosby, chief market strategist of Prudential Financial. The talks are "clearly a positive for the markets because the effect it has on the world economy is paramount going into the last quarter", Krosby said. Markets in China and Hong Kong were closed for a public holiday as anniversary celebrations were underway in Beijing but with mass protests planned in the southern financial hub. Sydney rose 0.3 per cent ahead of a central bank meeting, with a rate cut predicted by a Bloomberg survey of economists. Oil prices had fallen sharply Monday following reports that Saudi Arabia restored oil production more quickly than expected following attacks on infrastructure. The retreat in prices also came after remarks by Saudi leader Mohammed bin Salman endorsing a non-military solution for a longstanding conflict with Iran, which Saudi Arabia has blamed for the recent oilfield attacks. He told a "60 minutes" war would be catastrophic for global growth. "Oil supplies will be disrupted and oil prices will jump to unimaginably high numbers that we haven't seen in our lifetimes," the prince said. On Tuesday Brent crude was still down but West Texas Intermediate rose 0.5 per cent.

Tokyo leads Asian market gains in holiday trade

Fashion retailer Forever 21 Inc said on Sunday that it has filed for Chapter 11 bankruptcy protection to restructure its business, joining a growing list of brick-and-mortar players who have taken a hit from fierce e-commerce competition.

<a href="https://www.wionews.com/entertainment/ariana-grande-sues-forever-21-for-10-million-over-look-alike-ad-campaign-247429">The company</a> said it plans to exit most of its international locations in Asia and Europe, but will continue operations in Mexico and Latin America.

The retailer said it received $275 million in financing from its existing lenders with JPMorgan Chase Bank, NA&nbsp;as an agent, and $75 million in new capital from TPG Sixth Street Partners, and certain of its affiliated funds.

It lists both assets and liabilities in the range of $1 billion to $10 billion, according to the court filing in the US&nbsp;Bankruptcy Court for the District of Delaware.

Since the start of 2017, more than 20 US&nbsp;retailers, including Sears Holdings Corp&nbsp;and Toys 'R' Us, have filed for bankruptcy, succumbing to the onslaught of fierce e-commerce competition from Amazon Inc.

Fashion retailer Forever 21 Inc said on Sunday that it has filed for Chapter 11 bankruptcy protection to restructure its business, joining a growing list of brick-and-mortar players who have taken a hit from fierce e-commerce competition.

Fashion retailer Forever 21 Inc said on Sunday that it has filed for Chapter 11 bankruptcy protection to restructure its business, joining a growing list of brick-and-mortar players who have taken a hit from fierce e-commerce competition. The company said it plans to exit most of its international locations in Asia and Europe, but will continue operations in Mexico and Latin America. The retailer said it received $275 million in financing from its existing lenders with JPMorgan Chase Bank, NA as an agent, and $75 million in new capital from TPG Sixth Street Partners, and certain of its affiliated funds. It lists both assets and liabilities in the range of $1 billion to $10 billion, according to the court filing in the US Bankruptcy Court for the District of Delaware. Since the start of 2017, more than 20 US retailers, including Sears Holdings Corp and Toys 'R' Us, have filed for bankruptcy, succumbing to the onslaught of fierce e-commerce competition from Amazon Inc.

Forever 21 files for bankruptcy; to pull out of Asian markets

Equity benchmark indices were subdued during early hours on Friday tracking weakness in Asian peers amid global growth concerns.

At 10:15 am, the BSE S &amp; P Sensex was down by 88 points at 39,902 while the Nifty 50 slipped by 37 point to 11,535. At the National Stock Exchange, most sectoral indices were in the red except for financial services, PSU bank and FMCG.

Among stocks, Tata Motors lost by 3.2 per cent to Rs 120.45 per share after Jaguar Land Rover said it will suspend production for a week after the planned Brexit date of October 31 as a prudent measure.

Metal stocks like Tata Steel, Vedanta and Hindalco too suffered losses of over 2 per cent each.

The other prominent losers were ONGC, GAIL, Nestle Indian and Bharti Infratel.

However, FMCG major ITC gained by 2.1 per cent. The others which added gains were Reliance Industries, Bajaj Finance, Bajaj Finserv and HDFC.

Meanwhile, Asian shares were on course for a second straight week of losses.

The release of a <a href="https://www.wionews.com/world/whistleblower-in-donald-trump-ukraine-scandal-a-cia-officer-report-252276">whistleblower complaint against</a> US President Donald Trump heightened uncertainties about the global economy which is already reeling under the impact of US-China trade tariff issues.

MSCI's broadest index of Asia Pacific shares outside Japan slipped by 0.42 per cent while Japan's Nikkei slid by 1.27 per cent.

A whistleblower report released on Thursday said Trump not only abused his office in attempting to solicit Ukraine's interference in the US election for his political benefit but that the White House tried to lock down evidence about that conduct.

The report came after the Speaker of the US House of Representatives Nancy Pelosi launched an impeachment inquiry into him.

Equity benchmark indices were subdued during early hours on Friday tracking weakness in Asian peers amid global growth concerns. At 10:15 am, the BSE S & P Sensex was down by 88 points at 39,902 while the Nifty 50 slipped by 37 point to 11,535.

Equity benchmark indices were subdued during early hours on Friday tracking weakness in Asian peers amid global growth concerns. At 10:15 am, the BSE S & P Sensex was down by 88 points at 39,902 while the Nifty 50 slipped by 37 point to 11,535. At the National Stock Exchange, most sectoral indices were in the red except for financial services, PSU bank and FMCG. Among stocks, Tata Motors lost by 3.2 per cent to Rs 120.45 per share after Jaguar Land Rover said it will suspend production for a week after the planned Brexit date of October 31 as a prudent measure. Metal stocks like Tata Steel, Vedanta and Hindalco too suffered losses of over 2 per cent each. The other prominent losers were ONGC, GAIL, Nestle Indian and Bharti Infratel. However, FMCG major ITC gained by 2.1 per cent. The others which added gains were Reliance Industries, Bajaj Finance, Bajaj Finserv and HDFC. Meanwhile, Asian shares were on course for a second straight week of losses. The release of a whistleblower complaint against US President Donald Trump heightened uncertainties about the global economy which is already reeling under the impact of US-China trade tariff issues. MSCI's broadest index of Asia Pacific shares outside Japan slipped by 0.42 per cent while Japan's Nikkei slid by 1.27 per cent. A whistleblower report released on Thursday said Trump not only abused his office in attempting to solicit Ukraine's interference in the US election for his political benefit but that the White House tried to lock down evidence about that conduct. The report came after the Speaker of the US House of Representatives Nancy Pelosi launched an impeachment inquiry into him.

Equities subdued on global cues, auto and metal stocks suffer

Asian equities were mixed Wednesday, with attention turning to the Federal Reserve's key policy decision later in the day, while investors remain on alert for developments in the Middle East after the attack on Saudi oil facilities rocked markets.

News that Riyadh will get its two major installations back online earlier than expected sent crude prices tumbling Tuesday, and they fell further in Asia, though analysts said there was nervousness on trading floors about oil security in the future.

With fears of military retaliation against Iran -- who are accused of being behind the strikes -- low for now, focus is now on the Fed, which is expected to cut interest rates while its post-meeting statement will be closely followed for clues about future plans.

Global markets have spent most of this month rising on bets that central banks, led by the Fed, will move to a softer monetary policy to offset a slowdown in most economies exacerbated by the China-US trade war.

"A rate cut of 25 basis points is universally regarded as a done deal by global markets," said OANDA senior market analyst Jeffrey Halley.

"What will be closely watched is the press conference 30 minutes later, where we will gain more clarity as to whether the Fed has moved to an explicit easing bias.

"The likelihood of a shift from neutral to easing will be high as the (policy board) will not be able to ignore the storm cloud around the rest of the world that must eventually start raining on the United States."

Oxford Economics estimates the Fed will cut three more times this year, which would erase all its 2018 rate hikes.

The Fed has been forced to pump more than $100 billion into US financial markets owing to a tightening of liquidity that had seen short-term lending rates spike for companies.

Eyes on Pompeo

Equity traders shifted cautiously with Asian markets struggling for traction.

Hong Kong edged up 0.1 per cent after two days of steep losses that have been made worse by worries about long-running protests in the city. Shanghai was 0.4 per cent higher and Tokyo ended the morning 0.1 per cent higher.

Seoul added 0.4 percent and Taipei rose 0.3 percent but Sydney slipped 0.2 percent and Singapore fell 0.1 per cent, while Wellington and Manila were also down.

Dealers are being given some optimism by the fact the US and China are about to restart trade negotiations next month, with a delegation from Beijing reportedly visiting Washington this week for preparatory talks.

However, there are fresh worries about the impact on the already stuttering world economy from the Saudi oil attacks on Saturday.

While the resumption of output from the world's biggest exporter provided some much-needed relief, observers said long-term energy security is now a concern.

"Restoring production may placate global investors' immediate economic concerns, but that's only half the problem as the attacks exposed some significant vulnerabilities," said Stephen Innes at AxiTrader.

"None more so than just how inadequately prepared the markets are for disruptions of this magnitude which suggest that the supply risk premium could stick around well after production is restored."

Eyes are on US Secretary of State Mike Pompeo, who departed for Saudi Arabia Tuesday to discuss possible retaliation, while Vice President Mike Pence said: "As the president said, we don't want war with anybody but the United States is prepared."

A US official, speaking on condition of anonymity, told AFP the White House has concluded the attack -- claimed by Huthi rebels in Yemen -- involved cruise missiles from Iran and that evidence would be presented at the UN General Assembly next week.

Asian equities were mixed Wednesday, with attention turning to the Federal Reserve's key policy decision later in the day, while investors remain on alert for developments in the Middle East after the attack on Saudi oil facilities rocked markets.

Asian equities were mixed Wednesday, with attention turning to the Federal Reserve's key policy decision later in the day, while investors remain on alert for developments in the Middle East after the attack on Saudi oil facilities rocked markets. News that Riyadh will get its two major installations back online earlier than expected sent crude prices tumbling Tuesday, and they fell further in Asia, though analysts said there was nervousness on trading floors about oil security in the future. With fears of military retaliation against Iran -- who are accused of being behind the strikes -- low for now, focus is now on the Fed, which is expected to cut interest rates while its post-meeting statement will be closely followed for clues about future plans. Global markets have spent most of this month rising on bets that central banks, led by the Fed, will move to a softer monetary policy to offset a slowdown in most economies exacerbated by the China-US trade war. "A rate cut of 25 basis points is universally regarded as a done deal by global markets," said OANDA senior market analyst Jeffrey Halley. "What will be closely watched is the press conference 30 minutes later, where we will gain more clarity as to whether the Fed has moved to an explicit easing bias. "The likelihood of a shift from neutral to easing will be high as the (policy board) will not be able to ignore the storm cloud around the rest of the world that must eventually start raining on the United States." Oxford Economics estimates the Fed will cut three more times this year, which would erase all its 2018 rate hikes. The Fed has been forced to pump more than $100 billion into US financial markets owing to a tightening of liquidity that had seen short-term lending rates spike for companies. Eyes on Pompeo Equity traders shifted cautiously with Asian markets struggling for traction. Hong Kong edged up 0.1 per cent after two days of steep losses that have been made worse by worries about long-running protests in the city. Shanghai was 0.4 per cent higher and Tokyo ended the morning 0.1 per cent higher. Seoul added 0.4 percent and Taipei rose 0.3 percent but Sydney slipped 0.2 percent and Singapore fell 0.1 per cent, while Wellington and Manila were also down. Dealers are being given some optimism by the fact the US and China are about to restart trade negotiations next month, with a delegation from Beijing reportedly visiting Washington this week for preparatory talks. However, there are fresh worries about the impact on the already stuttering world economy from the Saudi oil attacks on Saturday. While the resumption of output from the world's biggest exporter provided some much-needed relief, observers said long-term energy security is now a concern. "Restoring production may placate global investors' immediate economic concerns, but that's only half the problem as the attacks exposed some significant vulnerabilities," said Stephen Innes at AxiTrader. "None more so than just how inadequately prepared the markets are for disruptions of this magnitude which suggest that the supply risk premium could stick around well after production is restored." Eyes are on US Secretary of State Mike Pompeo, who departed for Saudi Arabia Tuesday to discuss possible retaliation, while Vice President Mike Pence said: "As the president said, we don't want war with anybody but the United States is prepared." A US official, speaking on condition of anonymity, told AFP the White House has concluded the attack -- claimed by Huthi rebels in Yemen -- involved cruise missiles from Iran and that evidence would be presented at the UN General Assembly next week.

Asian markets mixed ahead of key Fed meeting, oil drops again

Asian markets mostly rose Wednesday with a broadly upbeat tone across trading floors ahead of major meetings at the European and US central banks, while there is also a growing sense of optimism over <a href="https://www.wionews.com/world/china-us-trade-talks-to-restart-after-g20-tariff-truce-239483">China-US trade talks</a>.

News that <a href="https://www.wionews.com/india-news/i-asked-nsa-john-bolton-to-resign-tweets-us-president-donald-trump-248901">Donald Trump</a> had fired his fervently hawkish national security adviser also lifted sentiment with analysts saying it could see the White House take a less strident approach and ease geopolitical tensions.

With the global economy sputtering, attention has turned increasingly to central banks as investors look for more stimulus.

Watch Vidoe:&nbsp;US President Donald Trump fires NSA John Bolton

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On Thursday the European Central Bank holds one of its most anticipated gatherings and hopes are for a series of fresh measures including a possible interest rate cut, fresh bond-buying quantitative easing (QE) or other loosening tools.

That is followed by the Federal Reserve's board meeting next week, where it is tipped to announce another reduction in borrowing costs as the world's top economy which has so far been the strongest globally stutters.

"With the expectation of the resumption of quantitative easing by the ECB&nbsp;and a rate cut by the Federal Reserve next week, the risk environment has solidified and tempted investors out of hiding from the bond markets and back into equities," said Jeffrey Halley, senior market analyst at OANDA.

In the afternoon trade, Hong Kong climbed 1.6 per cent as investors made the most of the upbeat mood to pick up cheap stocks after months of sometimes violent protests in the city weighed on the stock market.

Tokyo finished one per cent higher, Singapore put on more than one per cent, Seoul rose 0.8 per cent, Sydney gained 0.4 per cent and Taipei added 0.3 per cent, while Manila, Mumbai, Bangkok, and Jakarta also posted gains.

However, Shanghai was fell 0.4 per cent, with little major reaction to the news that China had listed 16 US categories of goods it would exempt from tariffs, ahead of planned top-level trade talks next month. Dealers also appeared to brush off Beijing's decision on Tuesday to lift limits on foreign investment in the country.

Wellington tumbled almost two per cent as Prime Minister Jacinda Ardern's government was rocked by its handling of sexual assault allegations against a top Labour Party staffer.

In early trade London rose 0.5 per cent, Frankfurt jumped 0.6 per cent and Paris edged up 0.3 per cent.

Trump's decision to sack John Bolton as a leading security adviser raised the possibility of an easing of tensions between the US and several nations, particularly Iran.

The controversial <a href="https://www.wionews.com/world/us-security-adviser-john-bolton-to-urge-tougher-uk-stance-on-iran-and-china-242307">Bolton</a> was closely linked to the invasion of Iraq and other past aggressive US foreign policy decisions and was seen as one of the main driving forces in Trump's muscular approach to Tehran, North Korea, and Venezuela, among others.

Stephen Innes at AxiTrader said that while the move did not necessarily mean a huge change in policy direction, "it does eliminate the most vocal advocate for US military-enforced regime change in the Trump administration".

He added that "from a geopolitical risk perspective, it does lessen war risk premiums, especially in Syria, Venezuela, and Iran and opens the door to more friendly discussion with North Korea".

However, the possibility of dialling down in the stand-off between the US and Iran led to a plunge Tuesday in the price of oil, with WTI diving almost three per cent from an intraday high and Brent shedding 2.5 per cent.

The two contracts later clawed back some of the losses on bargain-buying expectations for more output cuts by leading producers led by Saudi Arabia.

In share trading companies linked to Apple enjoyed healthy buying after the US tech giant unveiled new iPhones, including a lower-priced offering, and set launch dates for its original video offering as well as its game subscription service.

In Tokyo, Alps Alpine surged three per cent, Japan Display put on nearly three per cent and Sharp rallied more than four per cent, while LG Display in Seoul was up two per cent in Seoul. Taipei-listed Foxconn rose by 0.2 per cent.

On forex markets, the positive vibe helped the dollar up against the safe-haven yen, while higher-yielding, riskier currencies edged up against the greenback.

The pound held its recent gains as Prime Minister Boris Johnson said he was pushing to strike a divorce agreement with the European Union, having lost a series of key votes to MPs opposed to a no-deal Brexit.

Asian markets mostly rose Wednesday with a broadly upbeat tone across trading floors ahead of major meetings at the European and US central banks, while there is also a growing sense of optimism over China-US trade talks.

Asian markets mostly rose Wednesday with a broadly upbeat tone across trading floors ahead of major meetings at the European and US central banks, while there is also a growing sense of optimism over China-US trade talks. News that Donald Trump had fired his fervently hawkish national security adviser also lifted sentiment with analysts saying it could see the White House take a less strident approach and ease geopolitical tensions. With the global economy sputtering, attention has turned increasingly to central banks as investors look for more stimulus. Watch Vidoe: US President Donald Trump fires NSA John Bolton × On Thursday the European Central Bank holds one of its most anticipated gatherings and hopes are for a series of fresh measures including a possible interest rate cut, fresh bond-buying quantitative easing (QE) or other loosening tools. That is followed by the Federal Reserve's board meeting next week, where it is tipped to announce another reduction in borrowing costs as the world's top economy which has so far been the strongest globally stutters. "With the expectation of the resumption of quantitative easing by the ECB and a rate cut by the Federal Reserve next week, the risk environment has solidified and tempted investors out of hiding from the bond markets and back into equities," said Jeffrey Halley, senior market analyst at OANDA. In the afternoon trade, Hong Kong climbed 1.6 per cent as investors made the most of the upbeat mood to pick up cheap stocks after months of sometimes violent protests in the city weighed on the stock market. Tokyo finished one per cent higher, Singapore put on more than one per cent, Seoul rose 0.8 per cent, Sydney gained 0.4 per cent and Taipei added 0.3 per cent, while Manila, Mumbai, Bangkok, and Jakarta also posted gains. However, Shanghai was fell 0.4 per cent, with little major reaction to the news that China had listed 16 US categories of goods it would exempt from tariffs, ahead of planned top-level trade talks next month. Dealers also appeared to brush off Beijing's decision on Tuesday to lift limits on foreign investment in the country. Wellington tumbled almost two per cent as Prime Minister Jacinda Ardern's government was rocked by its handling of sexual assault allegations against a top Labour Party staffer. In early trade London rose 0.5 per cent, Frankfurt jumped 0.6 per cent and Paris edged up 0.3 per cent. Trump's decision to sack John Bolton as a leading security adviser raised the possibility of an easing of tensions between the US and several nations, particularly Iran. The controversial Bolton was closely linked to the invasion of Iraq and other past aggressive US foreign policy decisions and was seen as one of the main driving forces in Trump's muscular approach to Tehran, North Korea, and Venezuela, among others. Stephen Innes at AxiTrader said that while the move did not necessarily mean a huge change in policy direction, "it does eliminate the most vocal advocate for US military-enforced regime change in the Trump administration". He added that "from a geopolitical risk perspective, it does lessen war risk premiums, especially in Syria, Venezuela, and Iran and opens the door to more friendly discussion with North Korea". However, the possibility of dialling down in the stand-off between the US and Iran led to a plunge Tuesday in the price of oil, with WTI diving almost three per cent from an intraday high and Brent shedding 2.5 per cent. The two contracts later clawed back some of the losses on bargain-buying expectations for more output cuts by leading producers led by Saudi Arabia. In share trading companies linked to Apple enjoyed healthy buying after the US tech giant unveiled new iPhones, including a lower-priced offering, and set launch dates for its original video offering as well as its game subscription service. In Tokyo, Alps Alpine surged three per cent, Japan Display put on nearly three per cent and Sharp rallied more than four per cent, while LG Display in Seoul was up two per cent in Seoul. Taipei-listed Foxconn rose by 0.2 per cent. On forex markets, the positive vibe helped the dollar up against the safe-haven yen, while higher-yielding, riskier currencies edged up against the greenback. The pound held its recent gains as Prime Minister Boris Johnson said he was pushing to strike a divorce agreement with the European Union, having lost a series of key votes to MPs opposed to a no-deal Brexit.

Asian markets extend gains over optimism on China-US trade talks

Most Asian markets rose Tuesday on the back of hopes for central bank and government stimulus measures around the world, while investors were also cheered by further signs of easing tensions in the China-US trade war.

Trading floors around the world have been tense for several weeks owing to concerns about a number of factors including the trade war, Brexit, a global economic slowdown and tensions in the Middle East.

However, while markets remain on edge, equities have enjoyed a positive start to the week, with Germany reportedly planning government support to avert a recession in Europe's biggest economy and central banks elsewhere looking to ease monetary policy.

Among the key events this week is a speech by Federal Reserve boss Jerome Powell at the annual Jackson Hole symposium of central bankers in Wyoming.

His remarks will be pored over to see if he hints at another interest rate cut following last month's move, and if so how deep it will be. However, some analysts have pointed out that while the US economy is showing signs of slowing, it remains healthy and Powell could decide no new help is needed just yet.

The Fed policy board "did not unanimously agree to the last 0.25 per cent cut," said Jeffrey Halley, senior market analyst for Asia-Pacific at OANDA. "US economic data continues to perform blissfully, implying the economy is doing just fine.

"Against that backdrop, I struggle to see why... Powell would hit the panic button at Jackson Hole this week. The financial markets could be setting themselves up for an ugly correction into the week's end."

Huawei hope tempered

Still, for now the mood is positive and by lunch Tokyo was up 0.4 per cent, while Shanghai was slightly higher and Hong Kong was flat, weighed by profit-taking after four days of gains.

Sydney gained 0.6 per cent, Singapore, Seoul and Taipei each put on 0.3 per cent and Wellington rose 0.6 per cent. Manila and Jakarta were both down.

The White House's decision to delay again by 90 days a ban on US firms doing business with Huawei was taken as a conciliatory move towards China and provided hope.

The announcement followed comments from Donald Trump and key advisers expressing optimism over the talks, with top-level negotiations between the economic titans lined up for next month.

The news was tempered, however, by the Commerce Department adding 46 companies to its list of Huawei subsidiaries and affiliates that would be covered by the ban if it is implemented in full, taking the total on the list to more than 100.

The "details don't necessarily suggest the US is making too many concessions on the China trade negotiations", said Rodrigo Catril, senior forex strategist at National Australia Bank.

Oil prices were flat, holding Monday's strong gains -- when Brent jumped 1.9 per cent and WTI 2.4 per cent -- on hopes for the trade talks and stimulus and following a strike by Yemeni rebels on a Saudi Arabian oil field at the weekend.

Most Asian markets rose Tuesday on the back of hopes for central bank and government stimulus measures around the world, while investors were also cheered by further signs of easing tensions in the China-US trade war.

Most Asian markets rose Tuesday on the back of hopes for central bank and government stimulus measures around the world, while investors were also cheered by further signs of easing tensions in the China-US trade war. Trading floors around the world have been tense for several weeks owing to concerns about a number of factors including the trade war, Brexit, a global economic slowdown and tensions in the Middle East. However, while markets remain on edge, equities have enjoyed a positive start to the week, with Germany reportedly planning government support to avert a recession in Europe's biggest economy and central banks elsewhere looking to ease monetary policy. Among the key events this week is a speech by Federal Reserve boss Jerome Powell at the annual Jackson Hole symposium of central bankers in Wyoming. His remarks will be pored over to see if he hints at another interest rate cut following last month's move, and if so how deep it will be. However, some analysts have pointed out that while the US economy is showing signs of slowing, it remains healthy and Powell could decide no new help is needed just yet. The Fed policy board "did not unanimously agree to the last 0.25 per cent cut," said Jeffrey Halley, senior market analyst for Asia-Pacific at OANDA. "US economic data continues to perform blissfully, implying the economy is doing just fine. "Against that backdrop, I struggle to see why... Powell would hit the panic button at Jackson Hole this week. The financial markets could be setting themselves up for an ugly correction into the week's end." Huawei hope tempered Still, for now the mood is positive and by lunch Tokyo was up 0.4 per cent, while Shanghai was slightly higher and Hong Kong was flat, weighed by profit-taking after four days of gains. Sydney gained 0.6 per cent, Singapore, Seoul and Taipei each put on 0.3 per cent and Wellington rose 0.6 per cent. Manila and Jakarta were both down. The White House's decision to delay again by 90 days a ban on US firms doing business with Huawei was taken as a conciliatory move towards China and provided hope. The announcement followed comments from Donald Trump and key advisers expressing optimism over the talks, with top-level negotiations between the economic titans lined up for next month. The news was tempered, however, by the Commerce Department adding 46 companies to its list of Huawei subsidiaries and affiliates that would be covered by the ban if it is implemented in full, taking the total on the list to more than 100. The "details don't necessarily suggest the US is making too many concessions on the China trade negotiations", said Rodrigo Catril, senior forex strategist at National Australia Bank. Oil prices were flat, holding Monday's strong gains -- when Brent jumped 1.9 per cent and WTI 2.4 per cent -- on hopes for the trade talks and stimulus and following a strike by Yemeni rebels on a Saudi Arabian oil field at the weekend.

Asian markets mostly rise on optimism for trade, stimulus

Most Asian markets drifted lower in subdued trade Friday as investors steeled themselves for the release of a crucial US jobs report that could have a major bearing on the size of an expected Federal Reserve interest rate cut.

With uncertainty over the China-US trade row put aside for now, this week has been dominated by speculation about the US central bank's plans to address a weakening economic outlook, both at home and globally.

The jobs report is a closely watched gauge of the state of the world's biggest economy and a below-forecast reading would ramp up hopes the Fed will announce a 50-basis-point reduction.

"A number in line with consensus probably delivers that July cut and I think that's what the market wants to see," Pepperstone Group head of research Chris Weston told Bloomberg Television.&nbsp;

But he warned: "If we get a really strong number, I think risk could really come off the table."

The clamour for a Fed rate cut comes as central banks around the world take a more accommodative footing to offset economic weakness blamed on trade uncertainty, particularly the China-US standoff.

Equity traders were shifting uneasily ahead of the jobs release, with Hong Kong and Shanghai each down 0.3 per cent and Tokyo ending the morning 0.1 per cent lower.

Singapore, Taipei and Seoul were each 0.1 per cent off as well, but Sydney, Wellington, Manila and Jakarta edged up slightly.

Oil prices struggle

Adding to the soft trading environment was the lack of a lead from Wall Street, which was closed for the Independence Day celebrations.

"If there is one thing financial markets hate it's a delicate balance between risk-on and off, suggesting something will give shortly," said Stephen Innes at Vanguard Markets.

"Over the short run, 'risk-on' sentiment should prevail on the back of the deluge on central banks easing. The Fed is critical to the 'risk-on' &nbsp;fever," he said, adding that "now is the time to shift easing policy into high gear".

Oil prices edged down as traders fret over the impact of weak global growth on demand, which is overshadowing this week's agreement by OPEC and Russia to extend their output caps.

Even the US-Iran crisis has been unable to perk up the commodity, with news that Britain had intercepted an Iranian oil tanker near Gibraltar -- suspected of carrying crude to Syria -- providing only a little support.

The US praised the move but Tehran called it an "illegal interception", adding to geopolitical tensions.

However, while Brent was slightly lower, WTI shed more than one per cent, hit by an increase in US production.

"The US is now positioned to become a net exporter and is not bound by the (OPEC-Russia) production limit agreement. This could further drive prices lower," said OANDA senior market analyst Alfonso Esparza.

Most Asian markets drifted lower in subdued trade Friday as investors steeled themselves for the release of a crucial US jobs report that could have a major bearing on the size of an expected Federal Reserve interest rate cut.

Most Asian markets drifted lower in subdued trade Friday as investors steeled themselves for the release of a crucial US jobs report that could have a major bearing on the size of an expected Federal Reserve interest rate cut. With uncertainty over the China-US trade row put aside for now, this week has been dominated by speculation about the US central bank's plans to address a weakening economic outlook, both at home and globally. The jobs report is a closely watched gauge of the state of the world's biggest economy and a below-forecast reading would ramp up hopes the Fed will announce a 50-basis-point reduction. "A number in line with consensus probably delivers that July cut and I think that's what the market wants to see," Pepperstone Group head of research Chris Weston told Bloomberg Television. But he warned: "If we get a really strong number, I think risk could really come off the table." The clamour for a Fed rate cut comes as central banks around the world take a more accommodative footing to offset economic weakness blamed on trade uncertainty, particularly the China-US standoff. Equity traders were shifting uneasily ahead of the jobs release, with Hong Kong and Shanghai each down 0.3 per cent and Tokyo ending the morning 0.1 per cent lower. Singapore, Taipei and Seoul were each 0.1 per cent off as well, but Sydney, Wellington, Manila and Jakarta edged up slightly. Oil prices struggle Adding to the soft trading environment was the lack of a lead from Wall Street, which was closed for the Independence Day celebrations. "If there is one thing financial markets hate it's a delicate balance between risk-on and off, suggesting something will give shortly," said Stephen Innes at Vanguard Markets. "Over the short run, 'risk-on' sentiment should prevail on the back of the deluge on central banks easing. The Fed is critical to the 'risk-on' fever," he said, adding that "now is the time to shift easing policy into high gear". Oil prices edged down as traders fret over the impact of weak global growth on demand, which is overshadowing this week's agreement by OPEC and Russia to extend their output caps. Even the US-Iran crisis has been unable to perk up the commodity, with news that Britain had intercepted an Iranian oil tanker near Gibraltar -- suspected of carrying crude to Syria -- providing only a little support. The US praised the move but Tehran called it an "illegal interception", adding to geopolitical tensions. However, while Brent was slightly lower, WTI shed more than one per cent, hit by an increase in US production. "The US is now positioned to become a net exporter and is not bound by the (OPEC-Russia) production limit agreement. This could further drive prices lower," said OANDA senior market analyst Alfonso Esparza.

Asian markets down as dealers bide time ahead of jobs report

Asian markets rose Thursday, tracking a record performance on Wall Street, as investors turned their focus to the upcoming release of US jobs data while hoping for a big Federal Reserve interest rate cut.

US traders went on a pre-July 4 spending spree Wednesday to push all three main indexes to their all-time highs as a string of weak economic indicators reinforced the case for the Fed to reduce borrowing costs.

With the relief-rally from Donald Trump and Xi Jinping's trade war ceasefire running its course, dealers were turning their attention to the global outlook and pinning their hopes on central bank support.

The release Friday of US non-farm payroll figures is key, analysts say, with a weak reading likely to reinforce expectations of a rate cut.&nbsp;

Talk of a reduction and concerns about the economy have seen the yield on safe haven 10-year Treasuries fall below two per cent.

"A lot of US economic data is wavering, as most key indicators are falling below trend, but the recent standouts have been labour and wage data," said OANDA senior market analyst Edward Moya.

"If the pillars of the economy begin to show some signs of weakness, this will disrupt the US consumer and support the calls for the Fed to cut in July and signal an additional one is on the way."

Dollar dips

In early Asian business, Hong Kong was up 0.5 per cent, Shanghai added 0.1 per cent, Tokyo climbed 0.3 per cent by the break and Sydney jumped 0.6 per cent.

Singapore was up 0.3 per cent, Wellington added 0.2 per cent and Taipei was 0.4 per cent stronger though Seoul was marginally lower.

Stephen Innes, at Vanguard Markets, said the fall in yields across several asset classes "has increased investor appetite for high dividend-yielding equity risk".

Investors were "hoping that this next wave central bank monetary infusion will provide a foundation to ensure the global cyclical bottom is set while offering a welcoming climate to extend this bullish trading cycle," he said.

The increasing likelihood of a Fed cut weighed on the dollar, with riskier currencies such as the South Korean won, Australian dollar and Indonesian rupiah all strengthening.

The Chinese yuan was also slightly higher.

However, Trump hit out at China on Wednesday in a Twitter rant, accusing it and Europe of artificially keeping the yuan and euro weak to gain an advantage over the US.

He said they were playing a "big currency manipulation game" and "pumping money into their system", adding that the US should step up to the fight by matching them.

Asian markets rose Thursday, tracking a record performance on Wall Street, as investors turned their focus to the upcoming release of US jobs data while hoping for a big Federal Reserve interest rate cut.

Asian markets rose Thursday, tracking a record performance on Wall Street, as investors turned their focus to the upcoming release of US jobs data while hoping for a big Federal Reserve interest rate cut. US traders went on a pre-July 4 spending spree Wednesday to push all three main indexes to their all-time highs as a string of weak economic indicators reinforced the case for the Fed to reduce borrowing costs. With the relief-rally from Donald Trump and Xi Jinping's trade war ceasefire running its course, dealers were turning their attention to the global outlook and pinning their hopes on central bank support. The release Friday of US non-farm payroll figures is key, analysts say, with a weak reading likely to reinforce expectations of a rate cut. Talk of a reduction and concerns about the economy have seen the yield on safe haven 10-year Treasuries fall below two per cent. "A lot of US economic data is wavering, as most key indicators are falling below trend, but the recent standouts have been labour and wage data," said OANDA senior market analyst Edward Moya. "If the pillars of the economy begin to show some signs of weakness, this will disrupt the US consumer and support the calls for the Fed to cut in July and signal an additional one is on the way." Dollar dips In early Asian business, Hong Kong was up 0.5 per cent, Shanghai added 0.1 per cent, Tokyo climbed 0.3 per cent by the break and Sydney jumped 0.6 per cent. Singapore was up 0.3 per cent, Wellington added 0.2 per cent and Taipei was 0.4 per cent stronger though Seoul was marginally lower. Stephen Innes, at Vanguard Markets, said the fall in yields across several asset classes "has increased investor appetite for high dividend-yielding equity risk". Investors were "hoping that this next wave central bank monetary infusion will provide a foundation to ensure the global cyclical bottom is set while offering a welcoming climate to extend this bullish trading cycle," he said. The increasing likelihood of a Fed cut weighed on the dollar, with riskier currencies such as the South Korean won, Australian dollar and Indonesian rupiah all strengthening. The Chinese yuan was also slightly higher. However, Trump hit out at China on Wednesday in a Twitter rant, accusing it and Europe of artificially keeping the yuan and euro weak to gain an advantage over the US. He said they were playing a "big currency manipulation game" and "pumping money into their system", adding that the US should step up to the fight by matching them.

Asian markets track record lead from Wall Street, focus on jobs

Asian markets surged Monday after Donald Trump and Xi Jinping agreed to restart trade talks, reviving hopes of an end to their tariffs war, while oil prices also rallied on news that Saudi Arabia and Russia will extend their output caps.

Trump's historic visit to North Korea, where he met leader Kim Jong Un, soothed geopolitical concerns and added to the upbeat mood on trading floors.

After a highly anticipated meeting on the sidelines of the G20 summit Saturday, the US president said negotiations to resolve the standoff between the world's two biggest economies were "back on track" and threatened new levies on Chinese goods would be held off.

Trump also signalled a softer position on Chinese telecom giant Huawei, a major bone of contention in the row, by saying US companies could sell equipment "where there's no great national security problem", White House economic advisor Larry Kudlow said Sunday.

While there had been a quiet sense of optimism the talks would end with an agreement to return to the negotiating table, the apparent concession on Huawei took some by surprise and provided some extra buying support.&nbsp;

The news was much-needed after Trump sparked volatility in early May with his shock decision to hit China with new tariffs and halt talks that had seemed to be nearing a positive end.

'Sigh of relief'

"After spending the better part of two months in trade war purgatory and with G20 done and dusted, risk markets have responded to Saturday's events in a reveller tone," said Stephen Innes at Vanguard Markets.

"Indeed, investors heaved a massive, but exhausted, sigh of relief that both the US and China opted to push the reset button and restart trade negotiations amidst other pleasantries -- now we'll have to see whether it all sticks."

Shanghai jumped 2.1 per cent in the morning while the Chinese yuan climbed to its strongest level in almost two months. Soft factory activity data indicated continued weakness in the world's number two economy, though analysts said the readings could press the central People's Bank of China to unveil fresh stimulus measures.

Tokyo ended the morning 1.8 per cent higher, Singapore rallied 1.2 per cent and Taipei was 1.5 per cent higher, with Sydney, Seoul, Wellington and Manila also higher. Hong Kong was closed for a public holiday.

Oil prices were also on a roll, with both main contracts jumping more than two per cent as the Trump-Xi agreement came with news that Russia and OPEC cartel kingpin Saudi Arabia had agreed at the G20 to extend a deal to limit output.

Innes added that "even with some long-term uncertainty on US-China trade leaking into the equation, I think medium-term risks to oil prices remained skewed to the upside, as Middle East tension continues to percolate, and we anticipate more easing from the PBoC. Both positives for oil prices".

The optimistic tone hit demand for safe-haven gold, which sank below $1,400.

Asian markets surged Monday after Donald Trump and Xi Jinping agreed to restart trade talks, reviving hopes of an end to their tariffs war, while oil prices also rallied on news that Saudi Arabia and Russia will extend their output caps.

Asian markets surged Monday after Donald Trump and Xi Jinping agreed to restart trade talks, reviving hopes of an end to their tariffs war, while oil prices also rallied on news that Saudi Arabia and Russia will extend their output caps. Trump's historic visit to North Korea, where he met leader Kim Jong Un, soothed geopolitical concerns and added to the upbeat mood on trading floors. After a highly anticipated meeting on the sidelines of the G20 summit Saturday, the US president said negotiations to resolve the standoff between the world's two biggest economies were "back on track" and threatened new levies on Chinese goods would be held off. Trump also signalled a softer position on Chinese telecom giant Huawei, a major bone of contention in the row, by saying US companies could sell equipment "where there's no great national security problem", White House economic advisor Larry Kudlow said Sunday. While there had been a quiet sense of optimism the talks would end with an agreement to return to the negotiating table, the apparent concession on Huawei took some by surprise and provided some extra buying support. The news was much-needed after Trump sparked volatility in early May with his shock decision to hit China with new tariffs and halt talks that had seemed to be nearing a positive end. 'Sigh of relief' "After spending the better part of two months in trade war purgatory and with G20 done and dusted, risk markets have responded to Saturday's events in a reveller tone," said Stephen Innes at Vanguard Markets. "Indeed, investors heaved a massive, but exhausted, sigh of relief that both the US and China opted to push the reset button and restart trade negotiations amidst other pleasantries -- now we'll have to see whether it all sticks." Shanghai jumped 2.1 per cent in the morning while the Chinese yuan climbed to its strongest level in almost two months. Soft factory activity data indicated continued weakness in the world's number two economy, though analysts said the readings could press the central People's Bank of China to unveil fresh stimulus measures. Tokyo ended the morning 1.8 per cent higher, Singapore rallied 1.2 per cent and Taipei was 1.5 per cent higher, with Sydney, Seoul, Wellington and Manila also higher. Hong Kong was closed for a public holiday. Oil prices were also on a roll, with both main contracts jumping more than two per cent as the Trump-Xi agreement came with news that Russia and OPEC cartel kingpin Saudi Arabia had agreed at the G20 to extend a deal to limit output. Innes added that "even with some long-term uncertainty on US-China trade leaking into the equation, I think medium-term risks to oil prices remained skewed to the upside, as Middle East tension continues to percolate, and we anticipate more easing from the PBoC. Both positives for oil prices". The optimistic tone hit demand for safe-haven gold, which sank below $1,400.

Asian markets surge on Trump-Xi breakthrough, oil rallies

Asian equities suffered fresh losses, the dollar rose and gold retreated Wednesday after top Federal Reserve officials dented hopes for a big interest rate cut next month, while traders are also fretting over this week's meeting between Donald Trump and Xi Jinping.

Adding to the downward pressure were concerns about worsening tensions between the US and Iran, though a drop in US stockpiles boosted oil prices.

Global markets had been on a healthy rally for more than a week after Trump hailed phone talks with his Chinese counterpart and said they would meet to discuss their trade war on the sidelines of the G20 summit in Osaka.

That coincided with a dovish lean from the US central bank that raised expectations that it would soon announce its first rate reduction for more than a decade.

However, optimism took a hit Tuesday after Fed boss Jerome Powell warned about the outlook for the US economy but said policymakers would not "overreact" to recent data.&nbsp;

Also Tuesday, St Louis Fed president James Bullard, considered a key dove on the board, told Bloomberg a cut of 50 basis points -- which many investors had been hoping for -- would be excessive.

The remarks hit equities with Wall Street's three main indexes sharply lower and the dollar, which has come under heavy pressure of late, bounced back against its major peers and other higher-yielding but riskier currencies.

"Bullard... dashed the hopes of many investors who were expecting the Fed to kick-start this easing cycle with a bang," said Edward Moya, senior market analyst at OANDA. "With the most dovish member taking a 50-basis point cut off the table, the dollar surged as equities tumbled."

Oil prices rally

The weaker dollar put a cap on gold's rally, with the yellow metal's safe-haven status in times of turmoil unable to stop it sinking from six-year highs.

Investors are keeping their focus on the planned meeting between Trump and Xi in Japan, though the US side dampened expectations for a deal between the two, saying the talks would set out a path for an agreement.

However, officials did say they were willing to hold off hiking tariffs on more Chinese goods, Bloomberg News reported.&nbsp;

Still, observers expect the issue to continue for some time.

"The US-China trade war stalemate is likely to continue as political considerations reign supreme," said brokerage T Rowe Price.

"With President Trump facing re-election in 2020, he may want to put off any agreement until next year, while China may want to deny President Trump a trade success to damage his re-election prospects, allowing Beijing to negotiate with his successor."

Crude surged after data showed a 7.55-million-barrel decline in US inventories, with Iran tensions also buoying the market.

"Oil prices went ballistic" after the report from industry group the American Petroleum Institute, said Stephen Innes of Vanguard Markets. "This is a strong signal for the energy market."

Asian equities suffered fresh losses, the dollar rose and gold retreated Wednesday after top Federal Reserve officials dented hopes for a big interest rate cut next month, while traders are also fretting over this week's meeting between Donald Trump and Xi Jinping.

Asian equities suffered fresh losses, the dollar rose and gold retreated Wednesday after top Federal Reserve officials dented hopes for a big interest rate cut next month, while traders are also fretting over this week's meeting between Donald Trump and Xi Jinping. Adding to the downward pressure were concerns about worsening tensions between the US and Iran, though a drop in US stockpiles boosted oil prices. Global markets had been on a healthy rally for more than a week after Trump hailed phone talks with his Chinese counterpart and said they would meet to discuss their trade war on the sidelines of the G20 summit in Osaka. That coincided with a dovish lean from the US central bank that raised expectations that it would soon announce its first rate reduction for more than a decade. However, optimism took a hit Tuesday after Fed boss Jerome Powell warned about the outlook for the US economy but said policymakers would not "overreact" to recent data. Also Tuesday, St Louis Fed president James Bullard, considered a key dove on the board, told Bloomberg a cut of 50 basis points -- which many investors had been hoping for -- would be excessive. The remarks hit equities with Wall Street's three main indexes sharply lower and the dollar, which has come under heavy pressure of late, bounced back against its major peers and other higher-yielding but riskier currencies. "Bullard... dashed the hopes of many investors who were expecting the Fed to kick-start this easing cycle with a bang," said Edward Moya, senior market analyst at OANDA. "With the most dovish member taking a 50-basis point cut off the table, the dollar surged as equities tumbled." Oil prices rally The weaker dollar put a cap on gold's rally, with the yellow metal's safe-haven status in times of turmoil unable to stop it sinking from six-year highs. Investors are keeping their focus on the planned meeting between Trump and Xi in Japan, though the US side dampened expectations for a deal between the two, saying the talks would set out a path for an agreement. However, officials did say they were willing to hold off hiking tariffs on more Chinese goods, Bloomberg News reported. Still, observers expect the issue to continue for some time. "The US-China trade war stalemate is likely to continue as political considerations reign supreme," said brokerage T Rowe Price. "With President Trump facing re-election in 2020, he may want to put off any agreement until next year, while China may want to deny President Trump a trade success to damage his re-election prospects, allowing Beijing to negotiate with his successor." Crude surged after data showed a 7.55-million-barrel decline in US inventories, with Iran tensions also buoying the market. "Oil prices went ballistic" after the report from industry group the American Petroleum Institute, said Stephen Innes of Vanguard Markets. "This is a strong signal for the energy market."

Asian markets and gold drop, dollar boosted on Fed rate worries

Domestic equity benchmark BSE Sensex fell over 150 points Friday dragged by losses in index heavyweights HDFC, RIL, ITC and Maruti, amid weak cues from other Asian markets.

The 30-share index was trading 136.59 points, or 0.34 per cent, lower at 39,465.04 at 0930 hours. Similarly, the broader NSE Nifty was quoting 32.25 points, or 0.27 per cent, down at 11,799.50.

In the previous session Thursday, the BSE gauge settled 488.89 points, or 1.25 per cent, higher at 39,601.63; and the Nifty closed 140.30 points, or 1.20 per cent, up at 11,831.75.

Top losers in the Sensex pack included Maruti, Yes Bank, Tata Motors, Kotak Bank, ITC, HDFC, Axis Bank and Bajaj Auto shedding up to 2 per cent.

While, Vedanta, SBI, Coal India, L&amp;T, PowerGrid, IndusInd Bank, ICICI Bank and HCL Tech were among the gainers, rising up to 1 per cent.

According to experts, investors took weak cues from other Asian markets amid continued foreign fund outflow and a depreciating rupee.

Elsewhere in Asia, Shanghai Composite Index, Hang Seng, Nikkei and Kospi were trading on a choppy note in their respective early sessions.

On Wall Street, S&amp;P500 ended at its record peak on Thursday, and Nasdaq rallied 0.80 per cent.

On a net basis, foreign institutional investors sold equity worth Rs 438.41 crore, while domestic institutional investors purchased shares to the tune of Rs 1,241.23 crore, provisional data available with stock exchanges showed on Thursday.

On the currency front, the Indian rupee depreciated 30 paise to 69.74 against the US dollar.

The global oil benchmark Brent crude futures were trading flat at 64.47 per barrel.

Domestic market was also cautious ahead of Finance Minister Nirmala Sitharaman's first meeting of the GST Council on Friday, traders said.

The council will consider slashing GST rate on electric vehicles to 5 per cent, from 12 per cent currently, along with extension of the tenure of the anti-profiteering authority by a year till November 2020, an official said.&nbsp;

Domestic equity benchmark BSE Sensex fell over 150 points Friday dragged by losses in index heavyweights HDFC, RIL, ITC and Maruti, amid weak cues from other Asian markets.

Domestic equity benchmark BSE Sensex fell over 150 points Friday dragged by losses in index heavyweights HDFC, RIL, ITC and Maruti, amid weak cues from other Asian markets. The 30-share index was trading 136.59 points, or 0.34 per cent, lower at 39,465.04 at 0930 hours. Similarly, the broader NSE Nifty was quoting 32.25 points, or 0.27 per cent, down at 11,799.50. In the previous session Thursday, the BSE gauge settled 488.89 points, or 1.25 per cent, higher at 39,601.63; and the Nifty closed 140.30 points, or 1.20 per cent, up at 11,831.75. Top losers in the Sensex pack included Maruti, Yes Bank, Tata Motors, Kotak Bank, ITC, HDFC, Axis Bank and Bajaj Auto shedding up to 2 per cent. While, Vedanta, SBI, Coal India, L&T, PowerGrid, IndusInd Bank, ICICI Bank and HCL Tech were among the gainers, rising up to 1 per cent. According to experts, investors took weak cues from other Asian markets amid continued foreign fund outflow and a depreciating rupee. Elsewhere in Asia, Shanghai Composite Index, Hang Seng, Nikkei and Kospi were trading on a choppy note in their respective early sessions. On Wall Street, S&P500 ended at its record peak on Thursday, and Nasdaq rallied 0.80 per cent. On a net basis, foreign institutional investors sold equity worth Rs 438.41 crore, while domestic institutional investors purchased shares to the tune of Rs 1,241.23 crore, provisional data available with stock exchanges showed on Thursday. On the currency front, the Indian rupee depreciated 30 paise to 69.74 against the US dollar. The global oil benchmark Brent crude futures were trading flat at 64.47 per barrel. Domestic market was also cautious ahead of Finance Minister Nirmala Sitharaman's first meeting of the GST Council on Friday, traders said. The council will consider slashing GST rate on electric vehicles to 5 per cent, from 12 per cent currently, along with extension of the tenure of the anti-profiteering authority by a year till November 2020, an official said.

Sensex drops over 150 points; Nifty below 11,800

Markets extended the previous day's gains in Asia on Tuesday (Jun 11), with investors turning their attention back to the China-US trade row and a planned meeting between the countries' leaders later this month.

Donald Trump's decision to drop threatened tariffs on Mexico after a last-minute <a href="https://www.wionews.com/world/mexico-immigration-deal-significant-win-for-us-pompeo-226128">immigration deal </a>last week sparked relief across trading floors and led to hope that the row with Beijing could also end with some sort of agreement.

The gains, which follow another healthy Wall Street performance, are much needed since the US president shocked markets last month by hiking levies on US $200 billion of Chinese imports, blaming backsliding over their long-running trade talks.

Support is also coming from expectations the Federal Reserve will cut interest rates as soon as next month in response to a string of soft US economic data and concerns about the impact of the <a href="https://www.wionews.com/business-economy/china-exports-grow-despite-us-tariffs-but-import-slump-most-in-nearly-three-years-225842">China stand-off.</a>

"What continues to grease the wheels of US equity markets and the one constant that keeps the S&amp;P (500) ticking is Federal Reserve free and cheap money, it's long been an established pattern," said Stephen Innes at Vanguard Markets.

But OANDA senior market analyst Edward Moya warned that while lower US central bank rates were a major boost, traders were ultimately keen to see the world's top two economies resolve their trade war.

"The recent global stock market rally has stemmed from expectations that the Fed will come to the rescue with a couple of rate cuts this year," he said in a note. "But that will not likely deliver fresh record highs with the US indexes unless we see a scaling back of tariffs between the US and China."

Oil uncertainty

In early trade Hong Kong rose 0.7 per cent, building on Monday's more than two per cent rally, while Shanghai was up 1.5 per cent.

Tokyo ended the morning 0.4 per cent higher, Sydney climbed 1.3 per cent and Singapore put on 0.5 per cent while Seoul added 0.3 per cent. Wellington was nearly one per cent up, with Taipei and Manila both strengthening 0.4 per cent.

Focus is now on the expected face-to-face between Trump and Xi Jinping at the G20 in Osaka at the end of June.

The US president told CNBC on Monday that a meeting had been planned but warned that if Xi did not turn up he would ramp up levies on all Chinese imports.

While expectations are for an agreement to eventually be made - which would be in the interests of both sides - Ray Attrill, head of forex strategy at NAB, said the "meeting is gearing up to be another major 'binary' risk event that should keep markets very edgy in the coming days and weeks".

Oil prices edged up after Monday's drop, which came on the back of uncertainties about an agreement between OPEC and other key producers led by Russia to cap output.

Innes said the market remains burdened by overproduction and waning demand.

"This is a real fear as with China slowing, the EU sickly and the US data starting to wobble, an economic downturn remains a clear and present danger," he said.

He warned prices could "drop to US$40 in a heartbeat" without the OPEC group and Russia agreeing to extend the output cuts.

Markets extended the previous day's gains in Asia on Tuesday (Jun 11), with investors turning their attention back to the China-US trade row and a planned meeting between the countries' leaders later this month.

Markets extended the previous day's gains in Asia on Tuesday (Jun 11), with investors turning their attention back to the China-US trade row and a planned meeting between the countries' leaders later this month. Donald Trump's decision to drop threatened tariffs on Mexico after a last-minute immigration deal last week sparked relief across trading floors and led to hope that the row with Beijing could also end with some sort of agreement. The gains, which follow another healthy Wall Street performance, are much needed since the US president shocked markets last month by hiking levies on US $200 billion of Chinese imports, blaming backsliding over their long-running trade talks. Support is also coming from expectations the Federal Reserve will cut interest rates as soon as next month in response to a string of soft US economic data and concerns about the impact of the China stand-off. "What continues to grease the wheels of US equity markets and the one constant that keeps the S&P (500) ticking is Federal Reserve free and cheap money, it's long been an established pattern," said Stephen Innes at Vanguard Markets. But OANDA senior market analyst Edward Moya warned that while lower US central bank rates were a major boost, traders were ultimately keen to see the world's top two economies resolve their trade war. "The recent global stock market rally has stemmed from expectations that the Fed will come to the rescue with a couple of rate cuts this year," he said in a note. "But that will not likely deliver fresh record highs with the US indexes unless we see a scaling back of tariffs between the US and China." Oil uncertainty In early trade Hong Kong rose 0.7 per cent, building on Monday's more than two per cent rally, while Shanghai was up 1.5 per cent. Tokyo ended the morning 0.4 per cent higher, Sydney climbed 1.3 per cent and Singapore put on 0.5 per cent while Seoul added 0.3 per cent. Wellington was nearly one per cent up, with Taipei and Manila both strengthening 0.4 per cent. Focus is now on the expected face-to-face between Trump and Xi Jinping at the G20 in Osaka at the end of June. The US president told CNBC on Monday that a meeting had been planned but warned that if Xi did not turn up he would ramp up levies on all Chinese imports. While expectations are for an agreement to eventually be made - which would be in the interests of both sides - Ray Attrill, head of forex strategy at NAB, said the "meeting is gearing up to be another major 'binary' risk event that should keep markets very edgy in the coming days and weeks". Oil prices edged up after Monday's drop, which came on the back of uncertainties about an agreement between OPEC and other key producers led by Russia to cap output. Innes said the market remains burdened by overproduction and waning demand. "This is a real fear as with China slowing, the EU sickly and the US data starting to wobble, an economic downturn remains a clear and present danger," he said. He warned prices could "drop to US$40 in a heartbeat" without the OPEC group and Russia agreeing to extend the output cuts.

Asian markets enjoy fresh rally with focus on Trump-Xi meeting

President Donald Trump sent Asian markets plunging Monday after<a href="https://www.wionews.com/world/trump-announces-higher-us-tariffs-on-china-goods-216186"> threatening to hike tariffs on $200 billion of Chinese goods</a> at the end of the week in a bid to speed up stuttering trade talks between the economic superpowers.

Shanghai and Hong Kong equities led big losses across the region, with the Chinese yuan also taking a battering after the president threw a spanner into the high-level negotiations, which many observers were expecting to wrap up imminently.

"For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," Trump tweeted Sunday night. "The 10% will go up to 25% on Friday."

The warning will throw a shadow over the next round of talks, with a delegation from Beijing due in Washington this week, with Bloomberg News reporting the Chinese side are considering their position.

The two sides have imposed tariffs on $360 billion in two-way trade since last year. But Trump and his Chinese counterpart Xi Jinping agreed to a truce in December, helping fan a surge across world stock markets for the past four months.

"Trump has taken the proverbial sledgehammer to the walnut this morning and the only two words likely to be on the minds of traders and investors this week are 'trade talks'," said OANDA senior market analyst Jeffrey Halley.

In morning trade Hong Kong tumbled 3.6 per cent and Shanghai was off more than five per cent as investors there returned for the first time since Tuesday.

Singapore was off three per cent and Taipei shed 1.8 per cent, while Sydney and Wellington were each one per cent down.

Manila and Jakarta were also sharply lower. Tokyo and Seoul were closed for holidays.

Yuan tumbles

"It’s making the outcomes more binary, with everybody focused on the Friday deadline," said Joyce Chang, chair of global research at JPMorgan Chase &amp; Co.

"There doesn’t seem to be much leeway now to much go past that. It's going to mean that investors will be very focused on the trade issues even beyond China," she told Bloomberg TV.

The yuan also took hiding, shedding more than 1.3 per cent at one point against the dollar, its heaviest fall in more than three years. The currency had been sitting around 10-month highs on the back of optimism the two sides would sign off on a trade pact.

"Investors will remain bearish on the yuan, as they reprice in trade war risks because the new developments are a reversal of previous positive progress," Ken Cheung, senior foreign-exchange strategist at Mizuho Bank. "The news was unexpected."

The flight to safety saw the dollar surge against higher-yielding, higher-risk units, with South Africa's rand off one per cent, the Mexican peso 0.9 per cent lower and the Australian dollar 0.6 per cent lower.

On oil markets, both main contracts were hammered more than two per cent by worries that a trade war between the world's top two economies could hit demand for the commodity.

Adding to weakness in the sector is the US drive to increase output, which comes as it reports rising stockpiles, which are offsetting unrest in Libya, tensions with Iran and production caps by OPEC and Russia.

However, while trading floors are awash with red, Stephen Innes at SPI Asset Management remained positive.

"We do know the president tends to retreat from more aggressive displays, so I am viewing this thinly veiled threat as political posturing or a tactical decision to apply more pressure on China to put through a trade deal that aligns with the best USA economic interest at heart.

"Despite US-China trade talks hitting an apparent impasse based on (the) tweet, I think a deal will be signed shortly."

Trump's outburst overshadowed another blockbuster US jobs report Friday that reinforced the view that the economy is in rude health, while measured wage inflation eased pressure on the Federal Reserve to hike interest rates.

President Donald Trump sent Asian markets plunging Monday after threatening to hike tariffs on $200 billion of Chinese goods at the end of the week in a bid to speed up stuttering trade talks between the economic superpowers.

President Donald Trump sent Asian markets plunging Monday after threatening to hike tariffs on $200 billion of Chinese goods at the end of the week in a bid to speed up stuttering trade talks between the economic superpowers. Shanghai and Hong Kong equities led big losses across the region, with the Chinese yuan also taking a battering after the president threw a spanner into the high-level negotiations, which many observers were expecting to wrap up imminently. "For 10 months, China has been paying Tariffs to the USA of 25% on 50 Billion Dollars of High Tech, and 10% on 200 Billion Dollars of other goods," Trump tweeted Sunday night. "The 10% will go up to 25% on Friday." The warning will throw a shadow over the next round of talks, with a delegation from Beijing due in Washington this week, with Bloomberg News reporting the Chinese side are considering their position. The two sides have imposed tariffs on $360 billion in two-way trade since last year. But Trump and his Chinese counterpart Xi Jinping agreed to a truce in December, helping fan a surge across world stock markets for the past four months. "Trump has taken the proverbial sledgehammer to the walnut this morning and the only two words likely to be on the minds of traders and investors this week are 'trade talks'," said OANDA senior market analyst Jeffrey Halley. In morning trade Hong Kong tumbled 3.6 per cent and Shanghai was off more than five per cent as investors there returned for the first time since Tuesday. Singapore was off three per cent and Taipei shed 1.8 per cent, while Sydney and Wellington were each one per cent down. Manila and Jakarta were also sharply lower. Tokyo and Seoul were closed for holidays. Yuan tumbles "It’s making the outcomes more binary, with everybody focused on the Friday deadline," said Joyce Chang, chair of global research at JPMorgan Chase & Co. "There doesn’t seem to be much leeway now to much go past that. It's going to mean that investors will be very focused on the trade issues even beyond China," she told Bloomberg TV. The yuan also took hiding, shedding more than 1.3 per cent at one point against the dollar, its heaviest fall in more than three years. The currency had been sitting around 10-month highs on the back of optimism the two sides would sign off on a trade pact. "Investors will remain bearish on the yuan, as they reprice in trade war risks because the new developments are a reversal of previous positive progress," Ken Cheung, senior foreign-exchange strategist at Mizuho Bank. "The news was unexpected." The flight to safety saw the dollar surge against higher-yielding, higher-risk units, with South Africa's rand off one per cent, the Mexican peso 0.9 per cent lower and the Australian dollar 0.6 per cent lower. On oil markets, both main contracts were hammered more than two per cent by worries that a trade war between the world's top two economies could hit demand for the commodity. Adding to weakness in the sector is the US drive to increase output, which comes as it reports rising stockpiles, which are offsetting unrest in Libya, tensions with Iran and production caps by OPEC and Russia. However, while trading floors are awash with red, Stephen Innes at SPI Asset Management remained positive. "We do know the president tends to retreat from more aggressive displays, so I am viewing this thinly veiled threat as political posturing or a tactical decision to apply more pressure on China to put through a trade deal that aligns with the best USA economic interest at heart. "Despite US-China trade talks hitting an apparent impasse based on (the) tweet, I think a deal will be signed shortly." Trump's outburst overshadowed another blockbuster US jobs report Friday that reinforced the view that the economy is in rude health, while measured wage inflation eased pressure on the Federal Reserve to hike interest rates.

Asian markets plunge as Trump threatens to hike China tariffs

Asian markets mostly fell Friday with investors treading carefully as global slowdown worries return to the fore, with analysts pointing to an economic divergence between the US and the rest of the world.

Traders have been cheered by a string of better-than-expected earnings from corporate titans this reporting season, with Facebook, Microsoft and Amazon adding to the positive mood on Wall Street, but were unable to fuel broad gains.

However, there have been a couple of misses from other top firms, while crucially a series of downbeat data and central bank caution have dampened spirits.

Central banks in Japan, Sweden, Turkey and Ukraine, with an eye on the global outlook, on Thursday, took a dovish turn and flagged softer policy in the near future. That came after a growth forecast cut by the Bank of Canada.

Meanwhile, low inflation has led to speculation the Reserve Bank of Australia could soon cut borrowing costs, while the European Central Bank is battling weak eurozone growth.

On top of that, a drop in German business confidence fanned worries about the bloc's biggest economy, while South Korea saw its worst performance in 10 years during the first quarter.

But while the Federal Reserve has said it will not likely raise interest rates this year the US economy continues to outpace its peers and the jobs markets are flourishing, with Wall Street hitting new records this week. Eyes are now on the release of US growth data later Friday.

"While positive earning numbers have lent massive support to US equities, it's hard to ignore the inescapable fact that we are back to the divergent economic narrative where the US economy is on fire while ice water continued to pour over the rest of the globe," said Stephen Innes of SPI Asset Management.

Shanghai dropped 0.5 per cent in the morning, extending losses of more than two per cent Thursday as investors fret that a run of market-supporting stimulus measures aimed at supporting the economy could be coming to an end.

Tokyo ended the morning down 0.7 per cent, Seoul shed 0.4 per cent and Singapore added 0.1 per cent.

There were also losses in Taipei, Wellington and Jakarta.

However, Hong Kong rose 0.3 per cent after suffering five straight days of decline.

The broad losses come at the end of a tough week for markets, which have enjoyed a blockbuster start to the year, thanks to hopes for China-US trade talks.

On oil markets both main contracts continued to fall after this week, hitting six-month highs as traders await the response from OPEC and Russia after the US said it would not extend waivers that allow certain countries to buy crude from sanctions-hit Iran.

Observers said that after the jump in prices, selling was to be expected owing to a number of factors including the China-US trade talks, unrest in Libya, Venezuela's political crisis and the OPEC-Russia output caps.

Asian markets mostly fell Friday with investors treading carefully as global slowdown worries return to the fore, with analysts pointing to an economic divergence between the US and the rest of the world.

Asian markets mostly fell Friday with investors treading carefully as global slowdown worries return to the fore, with analysts pointing to an economic divergence between the US and the rest of the world. Traders have been cheered by a string of better-than-expected earnings from corporate titans this reporting season, with Facebook, Microsoft and Amazon adding to the positive mood on Wall Street, but were unable to fuel broad gains. However, there have been a couple of misses from other top firms, while crucially a series of downbeat data and central bank caution have dampened spirits. Central banks in Japan, Sweden, Turkey and Ukraine, with an eye on the global outlook, on Thursday, took a dovish turn and flagged softer policy in the near future. That came after a growth forecast cut by the Bank of Canada. Meanwhile, low inflation has led to speculation the Reserve Bank of Australia could soon cut borrowing costs, while the European Central Bank is battling weak eurozone growth. On top of that, a drop in German business confidence fanned worries about the bloc's biggest economy, while South Korea saw its worst performance in 10 years during the first quarter. But while the Federal Reserve has said it will not likely raise interest rates this year the US economy continues to outpace its peers and the jobs markets are flourishing, with Wall Street hitting new records this week. Eyes are now on the release of US growth data later Friday. "While positive earning numbers have lent massive support to US equities, it's hard to ignore the inescapable fact that we are back to the divergent economic narrative where the US economy is on fire while ice water continued to pour over the rest of the globe," said Stephen Innes of SPI Asset Management. Shanghai dropped 0.5 per cent in the morning, extending losses of more than two per cent Thursday as investors fret that a run of market-supporting stimulus measures aimed at supporting the economy could be coming to an end. Tokyo ended the morning down 0.7 per cent, Seoul shed 0.4 per cent and Singapore added 0.1 per cent. There were also losses in Taipei, Wellington and Jakarta. However, Hong Kong rose 0.3 per cent after suffering five straight days of decline. The broad losses come at the end of a tough week for markets, which have enjoyed a blockbuster start to the year, thanks to hopes for China-US trade talks. On oil markets both main contracts continued to fall after this week, hitting six-month highs as traders await the response from OPEC and Russia after the US said it would not extend waivers that allow certain countries to buy crude from sanctions-hit Iran. Observers said that after the jump in prices, selling was to be expected owing to a number of factors including the China-US trade talks, unrest in Libya, Venezuela's political crisis and the OPEC-Russia output caps.

Asian markets mostly down after mixed lead from Wall Street

Asian markets fluctuated Wednesday following a record-breaking close on Wall Street that was fuelled by strong earnings from US big-hitters.

The S&amp;P 500 and Nasdaq scaled all-time highs while the Dow came close after a string of better-than-forecast results from the likes of Coca-Cola, Twitter and Lockheed Martin added to a raft of other recent reports that suggest the economy is in rude health.

Markets welcomed "a really great string of earnings reports, most of them outpacing expectations, as well as some pretty good commentary on future estimates from CEOs", Jim Paulsen, chief investment strategist at Leuthold Weeden, told Bloomberg News.

"There’s quite a bit of positivity carrying this to new highs."

However, while Asian dealers were generally upbeat they were unable to use the Wall Street performance to kick on in early trade, with major indexes shifting in and out of positive territory through the morning.

Hong Kong and Shanghai were each down 0.2 per cent in the morning while Tokyo headed into the break flat and Seoul slipped 0.7 per cent.

However, Sydney rose one per cent as a drop in Australian inflation raised the chances of an interest rate cut by the country's central bank. The reading sent the Australian dollar plunging one per cent.

Singapore, Taipei and Manila each rose 0.2 per cent, Wellington added 0.7 per cent while Jakarta inched up slightly.

Oil prices retreat after rally&nbsp;

US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin travel to Beijing next week for another round of high-level talks aimed at resolving their painful tariffs war.

The White House issued a statement saying the latest negotiations "will cover trade issues including intellectual property, forced technology transfer, non-tariff barriers, agriculture, services, purchases and enforcement", adding that Chinese officials will visit Washington on May 8.

Expectations the talks will eventually end with an agreement between the economic superpowers has helped fire a rally across world markets this year, with the initial row having been the catalyst for a sharp sell-off at the end of 2018.

On oil markets both main contracts were in retreat a day after hitting six-month highs on the back of news that Washington would end a waiver for several countries from US sanctions on Iran.

Prices had already been surging thanks to hopes for the China-US talks and, OPEC and Russia's output cap, and unrest in Libya and Venezuela.

There is speculation OPEC kingpin Saudi Arabia could step in to fill the void left in the market by the removal of Iranian crude, which would temper prices.

But SPI Asset Management's Stephen Innes said Riyadh could balk at such a move, having opened the taps when the US unveiled sanctions six months ago only to be "hoodwinked" by the waivers.

"If the US is fully committed to their hawkish Iranian pledge... prices will reprice higher as Saudi Arabia appear tentative about increasing supplies, while it is unlikely (US) shale can fill the void quick enough," Innes said in a note.

"So to what degree oil markets tighten, and how high oil price goes, will now mostly be dependent on the supply response from OPEC+ group."

Asian markets fluctuated Wednesday following a record-breaking close on Wall Street that was fuelled by strong earnings from US big-hitters. The S&P 500 and Nasdaq scaled all-time highs while the Dow came close after a string of better-than-forecast results from the likes of Coca-Cola, Twitter and Lockheed Martin added to a raft of other recent reports that suggest the economy is in rude health.

Asian markets fluctuated Wednesday following a record-breaking close on Wall Street that was fuelled by strong earnings from US big-hitters. The S&P 500 and Nasdaq scaled all-time highs while the Dow came close after a string of better-than-forecast results from the likes of Coca-Cola, Twitter and Lockheed Martin added to a raft of other recent reports that suggest the economy is in rude health. Markets welcomed "a really great string of earnings reports, most of them outpacing expectations, as well as some pretty good commentary on future estimates from CEOs", Jim Paulsen, chief investment strategist at Leuthold Weeden, told Bloomberg News. "There’s quite a bit of positivity carrying this to new highs." However, while Asian dealers were generally upbeat they were unable to use the Wall Street performance to kick on in early trade, with major indexes shifting in and out of positive territory through the morning. Hong Kong and Shanghai were each down 0.2 per cent in the morning while Tokyo headed into the break flat and Seoul slipped 0.7 per cent. However, Sydney rose one per cent as a drop in Australian inflation raised the chances of an interest rate cut by the country's central bank. The reading sent the Australian dollar plunging one per cent. Singapore, Taipei and Manila each rose 0.2 per cent, Wellington added 0.7 per cent while Jakarta inched up slightly. Oil prices retreat after rally US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin travel to Beijing next week for another round of high-level talks aimed at resolving their painful tariffs war. The White House issued a statement saying the latest negotiations "will cover trade issues including intellectual property, forced technology transfer, non-tariff barriers, agriculture, services, purchases and enforcement", adding that Chinese officials will visit Washington on May 8. Expectations the talks will eventually end with an agreement between the economic superpowers has helped fire a rally across world markets this year, with the initial row having been the catalyst for a sharp sell-off at the end of 2018. On oil markets both main contracts were in retreat a day after hitting six-month highs on the back of news that Washington would end a waiver for several countries from US sanctions on Iran. Prices had already been surging thanks to hopes for the China-US talks and, OPEC and Russia's output cap, and unrest in Libya and Venezuela. There is speculation OPEC kingpin Saudi Arabia could step in to fill the void left in the market by the removal of Iranian crude, which would temper prices. But SPI Asset Management's Stephen Innes said Riyadh could balk at such a move, having opened the taps when the US unveiled sanctions six months ago only to be "hoodwinked" by the waivers. "If the US is fully committed to their hawkish Iranian pledge... prices will reprice higher as Saudi Arabia appear tentative about increasing supplies, while it is unlikely (US) shale can fill the void quick enough," Innes said in a note. "So to what degree oil markets tighten, and how high oil price goes, will now mostly be dependent on the supply response from OPEC+ group."

Asian markets fluctuate as dealers brush off Wall Street record

The BSE benchmark Sensex rose over 150 points in early trade led by gains in banking and auto stocks amid positive cues from other Asian markets.

The BSE gauge Sensex was trading above the psychological 39,000-level in early deals up 176.95 points, or 0.45 per cent, at 39,233.60. The 30-share BSE index Tuesday settled at 39,056.65, 184.78 points or 0.48 per cent higher, marking its highest ever closing.

Similarly, the NSE benchmark Nifty was trading 39.05 points, or 0.33 per cent, higher at 11,752.25 in early session.

Top gainers on Sensex include Tata Motors, IndusInd Bank, HDFC twins, PowerGrid, Kotak Bank, Tata Steel, Bharti Airtel, Yes Bank, M&amp;M, Maruti, Bajaj Finance, SBI and RIL, rising up to 2.05 per cent.

On the other hand, Infosys, HUL, Coal India, L&amp;T and Sun Pharma were the top losers, falling up to 0.68 per cent.

According to experts, inflow of foreign liquidity in expectation of rate cut from the Reserve Bank of India (RBI) and revival in earnings will provide some stability in the market.

Foreign institutional investors (FIIs) remained net buyers in the capital markets, putting in Rs 543.36 crore Tuesday, while domestic institutional investors (DIIs) sold equities to the tune of Rs 437.70 crore, provisional data available with stock exchanges showed.

The Monetary Policy Committee (MPC) is holding a two-day meeting between April 2 and April 4 for the first bi-monthly policy statement for 2019-20. The RBI will unveil its first bi-monthly monetary policy decision of this new fiscal on Thursday.&nbsp;

Meanwhile, the rupee appreciated by 9 paise to trade at 68.65 to the US dollar in early trade on Wednesday.

Brent crude futures, the global oil benchmark, rose 0.52 per cent to trade at $69.73 per barrel.

Elsewhere in Asia, benchmark equity indices in Shanghai, Tokyo and Seoul were trading positive.

The BSE benchmark Sensex rose over 150 points in early trade led by gains in banking and auto stocks amid positive cues from other Asian markets. The BSE gauge Sensex was trading above the psychological 39,000-level in early deals up 176.

The BSE benchmark Sensex rose over 150 points in early trade led by gains in banking and auto stocks amid positive cues from other Asian markets. The BSE gauge Sensex was trading above the psychological 39,000-level in early deals up 176.95 points, or 0.45 per cent, at 39,233.60. The 30-share BSE index Tuesday settled at 39,056.65, 184.78 points or 0.48 per cent higher, marking its highest ever closing. Similarly, the NSE benchmark Nifty was trading 39.05 points, or 0.33 per cent, higher at 11,752.25 in early session. Top gainers on Sensex include Tata Motors, IndusInd Bank, HDFC twins, PowerGrid, Kotak Bank, Tata Steel, Bharti Airtel, Yes Bank, M&M, Maruti, Bajaj Finance, SBI and RIL, rising up to 2.05 per cent. On the other hand, Infosys, HUL, Coal India, L&T and Sun Pharma were the top losers, falling up to 0.68 per cent. According to experts, inflow of foreign liquidity in expectation of rate cut from the Reserve Bank of India (RBI) and revival in earnings will provide some stability in the market. Foreign institutional investors (FIIs) remained net buyers in the capital markets, putting in Rs 543.36 crore Tuesday, while domestic institutional investors (DIIs) sold equities to the tune of Rs 437.70 crore, provisional data available with stock exchanges showed. The Monetary Policy Committee (MPC) is holding a two-day meeting between April 2 and April 4 for the first bi-monthly policy statement for 2019-20. The RBI will unveil its first bi-monthly monetary policy decision of this new fiscal on Thursday. Meanwhile, the rupee appreciated by 9 paise to trade at 68.65 to the US dollar in early trade on Wednesday. Brent crude futures, the global oil benchmark, rose 0.52 per cent to trade at $69.73 per barrel. Elsewhere in Asia, benchmark equity indices in Shanghai, Tokyo and Seoul were trading positive.

Sensex rises over 150 points, Nifty above 11,750

Asian markets staged a tentative recovery Tuesday from the previous day's steep losses, with investors increasingly anxious about the state of the global economy.

With a mixed lead from Wall Street, regional traders had few catalysts to drive buying, while safe-haven flows saw the dollar edge up against high-yielding currencies.

Attention is also back on London, where MPs essentially wrested control of the Brexit debate from Prime Minister Theresa May with a vote that will allow them to decide on a number of possibilities for how to proceed.

Investors in Asia were suffering a hangover from Monday's pummelling, which came on the back of a drop in benchmark 10-year Treasury bond yields below those for three-month bills -- for the first time since before the global financial crisis.

This so-called inverted yield curve shows investors are more willing to buy long-term debt -- usually viewed as a higher risk -- as they consider the short-term outlook more hazardous. Such a scenario has preceded several recessions in recent decades.

"Recession worries may be premature for the US, but the negative signals are consistent with the recent data," said OANDA senior market analyst Edward Moya.

May's fresh crisis&nbsp;

Tokyo led gains, jumping 1.8 per cent by the break -- having dived three per cent Monday -- while Hong Kong edged up 0.4 per cent and Shanghai was flat.

Sydney added 0.1 per cent, Singapore put on 0.7 per cent, while Seoul, Wellington, Taipei and Manila also rose.

In Britain, the Brexit saga took a new twist when lawmakers inflicted yet another defeat on May by voting to take control of parliamentary business that will see them hold a series of ballots on different options for leaving the EU.

They will now choose to revoke Article 50 and cancel Brexit, hold another referendum, vote for a deal including a customs union and single market membership, or leave the EU without a deal.

However, even if they decide a majority course of action, the government is not legally bound to follow their instructions.

The move came after the premier admitted she still had not secured the votes needed to get her Brexit deal through parliament.

EU leaders last week delayed the divorce but warned that unless May can push her withdrawal deal through, Britain must come up with a new plan by April 12 -- or leave its closest trading partner with no deal at all.

While uncertainty reigns, the sterling was slightly higher Tuesday, with investors still hopeful Britain will avoid a no-deal Brexit, which some warn could be an economic calamity for the country.

Asian markets staged a tentative recovery Tuesday from the previous day's steep losses, with investors increasingly anxious about the state of the global economy.

Asian markets staged a tentative recovery Tuesday from the previous day's steep losses, with investors increasingly anxious about the state of the global economy. With a mixed lead from Wall Street, regional traders had few catalysts to drive buying, while safe-haven flows saw the dollar edge up against high-yielding currencies. Attention is also back on London, where MPs essentially wrested control of the Brexit debate from Prime Minister Theresa May with a vote that will allow them to decide on a number of possibilities for how to proceed. Investors in Asia were suffering a hangover from Monday's pummelling, which came on the back of a drop in benchmark 10-year Treasury bond yields below those for three-month bills -- for the first time since before the global financial crisis. This so-called inverted yield curve shows investors are more willing to buy long-term debt -- usually viewed as a higher risk -- as they consider the short-term outlook more hazardous. Such a scenario has preceded several recessions in recent decades. "Recession worries may be premature for the US, but the negative signals are consistent with the recent data," said OANDA senior market analyst Edward Moya. May's fresh crisis Tokyo led gains, jumping 1.8 per cent by the break -- having dived three per cent Monday -- while Hong Kong edged up 0.4 per cent and Shanghai was flat. Sydney added 0.1 per cent, Singapore put on 0.7 per cent, while Seoul, Wellington, Taipei and Manila also rose. In Britain, the Brexit saga took a new twist when lawmakers inflicted yet another defeat on May by voting to take control of parliamentary business that will see them hold a series of ballots on different options for leaving the EU. They will now choose to revoke Article 50 and cancel Brexit, hold another referendum, vote for a deal including a customs union and single market membership, or leave the EU without a deal. However, even if they decide a majority course of action, the government is not legally bound to follow their instructions. The move came after the premier admitted she still had not secured the votes needed to get her Brexit deal through parliament. EU leaders last week delayed the divorce but warned that unless May can push her withdrawal deal through, Britain must come up with a new plan by April 12 -- or leave its closest trading partner with no deal at all. While uncertainty reigns, the sterling was slightly higher Tuesday, with investors still hopeful Britain will avoid a no-deal Brexit, which some warn could be an economic calamity for the country.

Asian markets rise but traders on edge over global outlook

Asian markets were mostly up Wednesday with investors remaining positive about the prospects for a China-US trade deal while the pound held its gains as fears of a no-deal Brexit recede.

Wall Street provided a tepid lead as Federal Reserve boss Jerome Powell gave little away to lawmakers on the central bank's plans for monetary policy.

With few catalysts to drive business, dealers are awaiting the latest developments in trade negotiations between the world's top two economies, which have helped fuel a rally across global markets this year.

And while there was a stumble Tuesday, the gains continued in Asia in early trade with Shanghai rising 0.6 per cent, Hong Kong up 0.4 per cent, Tokyo ending the morning 0.5 per cent higher and Seoul climbing 0.3 per cent.

Sydney added 0.4 per cent though Taipei and Wellington edged lower.

However, while equities are enjoying a broad-based advance, there are warnings against overconfidence.

"Investors will continue to trade from a positive standpoint, but anything that comes out that could possibly derail a China-US trade deal will probably lead to some strong profit-taking flows and a decent downside correction and increase in volatility," said Nick Twidale, chief operating officer at Rakuten Securities Australia.

'Perilous game'&nbsp; 
Hopes that Britain will not leave the European Union without a divorce pact in place has also provided some support to markets and the pound in particular.

Sterling held its own in Asia a day after surging more than one per cent on Prime Minister Theresa May's decision to let MPs vote on a three-month delay to the March 29 Brexit deadline if she is unable to ram through her own deal.

But Jeffrey Halley, senior market analyst at OANDA, pointed out that risks remained.&nbsp;

Investors are "clearly second-guessing both the UK Parliament and the European Union, moving to a Brexit delay followed by a Brexit deal scenario", he said.

"This seems like a perilous game to play, but the momentum of this hope-versus-reality trade could push the pound to much higher levels yet. Be warned, though, that a disappointment in this glossy scenario could see just as ugly a move back down."

Traders will be keeping an eye on the second day of congressional testimony by Fed chief Powell after saying Tuesday that he saw inflation falling short of the bank's two per cent target despite rising employment and economic growth.

The comments follow recent Fed announcements that it will be "patient" before lifting or cutting interest rates and did not provide much news to investors.

Asian markets were mostly up Wednesday with investors remaining positive about the prospects for a China-US trade deal while the pound held its gains as fears of a no-deal Brexit recede.

Asian markets were mostly up Wednesday with investors remaining positive about the prospects for a China-US trade deal while the pound held its gains as fears of a no-deal Brexit recede. Wall Street provided a tepid lead as Federal Reserve boss Jerome Powell gave little away to lawmakers on the central bank's plans for monetary policy. With few catalysts to drive business, dealers are awaiting the latest developments in trade negotiations between the world's top two economies, which have helped fuel a rally across global markets this year. And while there was a stumble Tuesday, the gains continued in Asia in early trade with Shanghai rising 0.6 per cent, Hong Kong up 0.4 per cent, Tokyo ending the morning 0.5 per cent higher and Seoul climbing 0.3 per cent. Sydney added 0.4 per cent though Taipei and Wellington edged lower. However, while equities are enjoying a broad-based advance, there are warnings against overconfidence. "Investors will continue to trade from a positive standpoint, but anything that comes out that could possibly derail a China-US trade deal will probably lead to some strong profit-taking flows and a decent downside correction and increase in volatility," said Nick Twidale, chief operating officer at Rakuten Securities Australia. 'Perilous game' Hopes that Britain will not leave the European Union without a divorce pact in place has also provided some support to markets and the pound in particular. Sterling held its own in Asia a day after surging more than one per cent on Prime Minister Theresa May's decision to let MPs vote on a three-month delay to the March 29 Brexit deadline if she is unable to ram through her own deal. But Jeffrey Halley, senior market analyst at OANDA, pointed out that risks remained. Investors are "clearly second-guessing both the UK Parliament and the European Union, moving to a Brexit delay followed by a Brexit deal scenario", he said. "This seems like a perilous game to play, but the momentum of this hope-versus-reality trade could push the pound to much higher levels yet. Be warned, though, that a disappointment in this glossy scenario could see just as ugly a move back down." Traders will be keeping an eye on the second day of congressional testimony by Fed chief Powell after saying Tuesday that he saw inflation falling short of the bank's two per cent target despite rising employment and economic growth. The comments follow recent Fed announcements that it will be "patient" before lifting or cutting interest rates and did not provide much news to investors.

Asian markets up on lingering trade hopes, sterling holds gains

Shanghai led a rally across Asian markets Monday after Donald Trump said he would delay a hike in tariffs on Chinese goods citing "substantial progress" in trade talks and fuelling hopes of an end to their long-running stand-off.

Optimism over the negotiations had already provided support to global equities, spurring a rally in January and February, but the president's comments gave extra ammunition to investors to ramp up the buying.

The news also fired currency markets with the yuan extending gains to a seven-month high, while other high-yielding, riskier units were also up against the dollar.

Trump said on Twitter that the US "has made substantial progress in our trade talks with China on important structural issues including intellectual property protection, technology transfer, agriculture, services, currency, and many other issues".

He added: "As a result of these very productive talks, I will be delaying the US increase in tariffs now scheduled for March 1."

The president also said he planned to hold a summit with his Chinese counterpart Xi Jinping at his Mar-a-Lago estate in Florida to sign a deal.

China's Xinhua news agency added that the two sides had "made substantial progress on specific issues" including on transfer of technology, intellectual property and agriculture.

'Sigh of relief'&nbsp;

In morning trade, Shanghai jumped 2.8 per cent and Hong Kong added 0.4 per cent while Tokyo ended the morning 0.7 per cent higher.

Sydney and Singapore each put on 0.1 per cent, while Seoul was flat, Taipei added 0.4 per cent and Jakarta rose 0.3 per cent.

The gains in Asia followed another positive lead from Wall Street, where the Dow enjoyed its ninth straight weekly gain -- the longest streak since May 1995.

"This is a sigh of relief," said Ben Emons, managing director for global macro strategy at Medley Global Advisors. "Markets will still keep a level of caution, but this news is encouraging," he told Bloomberg TV.

The upbeat sentiment lifted high-risk currencies, with the yuan hitting its highest level against the dollar since July, while South Korea's won, the Australian dollar and the Indonesia rupiah were also well up.

Forex traders will be closely watching speeches this week from top Federal Reserve officials -- including chairman Jerome Powell's appearance in front of lawmakers -- hoping for clues about the bank's monetary policy plans.

Wall Street "will be looking for soothing comments about the future size of the balance sheet -- the bigger the better -- and insights into future rate hikes", said Jeffrey Halley, senior market analyst at OANDA.

Shanghai led a rally across Asian markets Monday after Donald Trump said he would delay a hike in tariffs on Chinese goods citing "substantial progress" in trade talks and fuelling hopes of an end to their long-running stand-off.

Shanghai led a rally across Asian markets Monday after Donald Trump said he would delay a hike in tariffs on Chinese goods citing "substantial progress" in trade talks and fuelling hopes of an end to their long-running stand-off. Optimism over the negotiations had already provided support to global equities, spurring a rally in January and February, but the president's comments gave extra ammunition to investors to ramp up the buying. The news also fired currency markets with the yuan extending gains to a seven-month high, while other high-yielding, riskier units were also up against the dollar. Trump said on Twitter that the US "has made substantial progress in our trade talks with China on important structural issues including intellectual property protection, technology transfer, agriculture, services, currency, and many other issues". He added: "As a result of these very productive talks, I will be delaying the US increase in tariffs now scheduled for March 1." The president also said he planned to hold a summit with his Chinese counterpart Xi Jinping at his Mar-a-Lago estate in Florida to sign a deal. China's Xinhua news agency added that the two sides had "made substantial progress on specific issues" including on transfer of technology, intellectual property and agriculture. 'Sigh of relief' In morning trade, Shanghai jumped 2.8 per cent and Hong Kong added 0.4 per cent while Tokyo ended the morning 0.7 per cent higher. Sydney and Singapore each put on 0.1 per cent, while Seoul was flat, Taipei added 0.4 per cent and Jakarta rose 0.3 per cent. The gains in Asia followed another positive lead from Wall Street, where the Dow enjoyed its ninth straight weekly gain -- the longest streak since May 1995. "This is a sigh of relief," said Ben Emons, managing director for global macro strategy at Medley Global Advisors. "Markets will still keep a level of caution, but this news is encouraging," he told Bloomberg TV. The upbeat sentiment lifted high-risk currencies, with the yuan hitting its highest level against the dollar since July, while South Korea's won, the Australian dollar and the Indonesia rupiah were also well up. Forex traders will be closely watching speeches this week from top Federal Reserve officials -- including chairman Jerome Powell's appearance in front of lawmakers -- hoping for clues about the bank's monetary policy plans. Wall Street "will be looking for soothing comments about the future size of the balance sheet -- the bigger the better -- and insights into future rate hikes", said Jeffrey Halley, senior market analyst at OANDA.

Asia markets rally as Trump delays China tariffs

The BSE benchmark Sensex rallied over 250 points in early trade Wednesday as metal, banking and realty stocks soared amid sustained buying by domestic institutional investors.

Positive cues from other Asian markets too buoyed mood on Dalal Street.

The 30-share index was trading 269.24 points, or 0.76 per cent, at 35,621.85. Similarly, the 50-share NSE Nifty rose 74.40 points, or 0.70 per cent, to 10,678.75.

The Sensex had settled 145.83 points lower at 35,352.61 in the previous session, while the Nifty had fallen 36.60 points to 10,604.35.

Top gainers in the Sensex pack on Wednesday include ONGC, Vedanta, Yes Bank, Bajaj Finance, Axis Bank, Sun Pharma, L&amp;T, Tata Steel, HDFC, Reliance and Bharti Airtel, rising up to 2.12 per cent.

On the other hand, HCL Tech, Hero MotoCorp, Bajaj Auto and M&amp;M were the losers, falling up to 0.76 per cent.

According to traders, investor sentiment was positive on strong buying by domestic institutional investors (DIIs).

On a net basis, DIIs were net buyers to the tune of Rs 1,163.85 crore, while foreign institutional investors sold shares worth a net of Rs 813.76 crore on Tuesday, provisional data available with BSE showed.

Investors also took cues from other Asian equities that were trading positive on hopes of a resolution to US-China trade tiff.

US President Donald Trump Tuesday said that negotiations with China on a trade deal were going very well, but refrained from committing any extension of the March 1 deadline to arrive at such an understanding.

Global markets are also eyeing minutes from the US Federal Reserve, scheduled for release later in the day, for clues on key interest rates, traders said.

Elsewhere in Asia, Hong Kong's Hang Seng was up 0.50 per cent, Kospi jumped 1.17 per cent, and Japan's Nikkei gained 0.70 per cent; while Shanghai Composite Index slipped 0.15 per cent in early trade.

On Wall Street, Dow Jones Industrial Average ended almost flat at 25,891.32 points on Tuesday.

The benchmark Brent crude futures rose 0.08 per cent to USD 66.50 per barrel.

Meanwhile, the rupee appreciated marginally to 71.31 against the US dollar in early session.

The BSE benchmark Sensex rallied over 250 points in early trade Wednesday as metal, banking and realty stocks soared amid sustained buying by domestic institutional investors.

The BSE benchmark Sensex rallied over 250 points in early trade Wednesday as metal, banking and realty stocks soared amid sustained buying by domestic institutional investors. Positive cues from other Asian markets too buoyed mood on Dalal Street. The 30-share index was trading 269.24 points, or 0.76 per cent, at 35,621.85. Similarly, the 50-share NSE Nifty rose 74.40 points, or 0.70 per cent, to 10,678.75. The Sensex had settled 145.83 points lower at 35,352.61 in the previous session, while the Nifty had fallen 36.60 points to 10,604.35. Top gainers in the Sensex pack on Wednesday include ONGC, Vedanta, Yes Bank, Bajaj Finance, Axis Bank, Sun Pharma, L&T, Tata Steel, HDFC, Reliance and Bharti Airtel, rising up to 2.12 per cent. On the other hand, HCL Tech, Hero MotoCorp, Bajaj Auto and M&M were the losers, falling up to 0.76 per cent. According to traders, investor sentiment was positive on strong buying by domestic institutional investors (DIIs). On a net basis, DIIs were net buyers to the tune of Rs 1,163.85 crore, while foreign institutional investors sold shares worth a net of Rs 813.76 crore on Tuesday, provisional data available with BSE showed. Investors also took cues from other Asian equities that were trading positive on hopes of a resolution to US-China trade tiff. US President Donald Trump Tuesday said that negotiations with China on a trade deal were going very well, but refrained from committing any extension of the March 1 deadline to arrive at such an understanding. Global markets are also eyeing minutes from the US Federal Reserve, scheduled for release later in the day, for clues on key interest rates, traders said. Elsewhere in Asia, Hong Kong's Hang Seng was up 0.50 per cent, Kospi jumped 1.17 per cent, and Japan's Nikkei gained 0.70 per cent; while Shanghai Composite Index slipped 0.15 per cent in early trade. On Wall Street, Dow Jones Industrial Average ended almost flat at 25,891.32 points on Tuesday. The benchmark Brent crude futures rose 0.08 per cent to USD 66.50 per barrel. Meanwhile, the rupee appreciated marginally to 71.31 against the US dollar in early session.

Sensex jumps over 250 points; metal stocks rally

Asian markets mostly rose Friday, with investors treading carefully as <a href="http://www.wionews.com/world/us-china-trade-talks-begin-amid-deep-differences-193945">China-US trade talks</a> ended with no deal but with both sides sounding notes of optimism and setting up more high-level meetings later this month.

After the much-anticipated gathering, Donald Trump hailed "tremendous progress" between the world's top two economies but warned the "hard deadline" of March 1 remained in place, after which US tariffs on billions of dollars of Chinese goods will be imposed.

For its part, Beijing said they held "candid, specific and fruitful" discussions and had agreed to increase cooperation on intellectual property — a major source of White House anger with China — and boost imports of US goods.

Trump's top two economic officials will visit Beijing later this month, after which he said he will meet his counterpart Xi Jinping to hammer out the final deal.

While the negotiations ended with no agreement, Jeffrey Halley, senior market analyst at OANDA, said: "For the markets, which are clearly in 'risk-on' mood, it was a case of no news is good news."

However, an early surge across the region petered out to leave markets mixed.

Tokyo ended 0.1 per cent higher and Hong Kong was marginally lower, while Shanghai jumped 1.3 per cent as traders welcomed news that authorities had relaxed certain rules to make investing easier.

Sydney and Singapore were both flat and Seoul dipped 0.1 per cent, though Manila, Mumbai, Bangkok and Jakarta were all up.

In early trade, London rose 0.3 per cent, while Frankfurt and Paris each added 0.2 per cent.

"The statement certainly signals progress, but at best-limited progress on the core long-term structural issues that separate the two sides," Eswar Prasad, a trade policy professor at Cornell University, told Bloomberg News.

"The statement ends with a not-so-veiled threat that China will need to offer more substantive concessions to enable a deal that would take further tariffs off the table."

The tepid movement in markets also comes after an impressive month that saw Hong Kong pile on more than eight per cent and Tokyo more than four per cent, a much-needed bounce after December's hammering.

Next on the agenda is the release of US jobs data later Friday, which comes days after the Federal Reserve fueled a rally by signalling a slowdown in its pace of interest rate hikes this year.

The non-farm payrolls figures will be closely watched for an idea about the state of the world's number-one economy, with the Fed having warned of a global slowdown.

Asian markets mostly rose Friday, with investors treading carefully as China-US trade talks ended with no deal but with both sides sounding notes of optimism and setting up more high-level meetings later this month.

Asian markets mostly rose Friday, with investors treading carefully as China-US trade talks ended with no deal but with both sides sounding notes of optimism and setting up more high-level meetings later this month. After the much-anticipated gathering, Donald Trump hailed "tremendous progress" between the world's top two economies but warned the "hard deadline" of March 1 remained in place, after which US tariffs on billions of dollars of Chinese goods will be imposed. For its part, Beijing said they held "candid, specific and fruitful" discussions and had agreed to increase cooperation on intellectual property — a major source of White House anger with China — and boost imports of US goods. Trump's top two economic officials will visit Beijing later this month, after which he said he will meet his counterpart Xi Jinping to hammer out the final deal. While the negotiations ended with no agreement, Jeffrey Halley, senior market analyst at OANDA, said: "For the markets, which are clearly in 'risk-on' mood, it was a case of no news is good news." However, an early surge across the region petered out to leave markets mixed. Tokyo ended 0.1 per cent higher and Hong Kong was marginally lower, while Shanghai jumped 1.3 per cent as traders welcomed news that authorities had relaxed certain rules to make investing easier. Sydney and Singapore were both flat and Seoul dipped 0.1 per cent, though Manila, Mumbai, Bangkok and Jakarta were all up. In early trade, London rose 0.3 per cent, while Frankfurt and Paris each added 0.2 per cent. "The statement certainly signals progress, but at best-limited progress on the core long-term structural issues that separate the two sides," Eswar Prasad, a trade policy professor at Cornell University, told Bloomberg News. "The statement ends with a not-so-veiled threat that China will need to offer more substantive concessions to enable a deal that would take further tariffs off the table." The tepid movement in markets also comes after an impressive month that saw Hong Kong pile on more than eight per cent and Tokyo more than four per cent, a much-needed bounce after December's hammering. Next on the agenda is the release of US jobs data later Friday, which comes days after the Federal Reserve fueled a rally by signalling a slowdown in its pace of interest rate hikes this year. The non-farm payrolls figures will be closely watched for an idea about the state of the world's number-one economy, with the Fed having warned of a global slowdown.

Asian markets mixed as China, US agree to further trade talks

Asian markets rallied Monday after a blockbuster performance on <a href="http://www.wionews.com/world/wall-street-ekes-out-gains-apple-cuts-revenue-forecast-after-the-bell-187953">Wall Street as US jobs</a> data beat forecasts and the head of the Federal Reserve hinted at a slower pace of <a href="http://www.wionews.com/world/us-fed-could-rethink-rate-hikes-as-trump-trade-wars-drag-on-economy-185760">interest rate hikes</a>.

China's move to make it easier for banks to lend also provided support to equities, while investors keep an eye on Beijing as negotiators begin talks to end a trade war between the world's top two economies.

Dealers started the week on the front foot following a surge on Wall Street Friday that came after figures showed more than 300,000 US jobs were created in December, tempering recent concerns about growth.

Later that day, Fed boss Jerome Powell said the bank had no "pre-set" plan for raising borrowing costs and was keeping a close watch on financial developments.

"We're listening... sensitively to the message that markets are sending and we'll be taking those downside risks into account as we make policy going forward," he told a gathering of economists.

The news was music to the ears of traders, who have been fretting that the Fed would press on with its rate hike cycle, making it more expensive to borrow for investment.

The comments saw the Dow pile on more than three per cent while the Nasdaq was more than four per cent higher.

They also overshadowed the budget gridlock on Capitol Hill that has shut down the US government, with Donald Trump warning it could go on for years if he is not given funding to build a wall on the Mexican border.

And the gains filtered through to Asia, where Tokyo's Nikkei ended the morning session 2.8 per cent higher, while Sydney gained 1.3 per cent and Seoul jumped 1.6 per cent.

Taipei surged two per cent and Manila was up 1.7 per cent with Jakarta 1.1 per cent up.

Risk on 'stable footing'&nbsp;

Hong Kong jumped more than one per cent and Shanghai was 0.7 per cent higher, with buying also boosted by news that the People's Bank of China had cut the amount of cash banks must keep in reserve.

The move aims to free up funds for lending in a bid to grease the economy's wheels following a string of weak data that has raised questions about the outlook.

There was also some optimism as Chinese and US officials kicked off talks to find a solution to the trade war that has seen the two sides impose tariffs in hundreds of billions of dollars worth of goods.

The row was a key factor behind the big losses on global markets last year and any move to bring it to an end will be cheered on trading floors.

Trump on Friday raised hopes for an agreement, saying: "I think we will make a deal with China."

Stephen Innes, head of Asia-Pacific trade at OANDA, said: "Risk sentiment is on more stable footing than we opened 2019 as a confluence of factors including the (China reserve rate) cut, China and the US... holding trade talks this week and of course Chair Powell's comments."

All, he said, were "market-friendly developments".&nbsp;

The upbeat mood gave a lift to high-yielding currencies, with South Korea's won and the Indonesian rupiah soaring against the dollar, while there were also healthy gains for Australia's dollar.

Oil was also benefitting, with both contracts up more than one per cent thanks to the wave of positive headlines.

But while there was a sense of hope, analysts remain cagey about the coming months.

"I do think going forward you are probably not likely to see that type of move where equities sell off 20 per cent in the space of six weeks, but generally volatility will be higher than what you saw in 2017 and the first half of 2018," Raymond Lee, managing director and portfolio manager at Kapstream Capital, told Bloomberg TV. 
&nbsp;

Dealers started the week on the front foot following a surge on Wall Street Friday that came after figures showed more than 300,000 US jobs were created in December.

Asian markets rallied Monday after a blockbuster performance on Wall Street as US jobs data beat forecasts and the head of the Federal Reserve hinted at a slower pace of interest rate hikes. China's move to make it easier for banks to lend also provided support to equities, while investors keep an eye on Beijing as negotiators begin talks to end a trade war between the world's top two economies. Dealers started the week on the front foot following a surge on Wall Street Friday that came after figures showed more than 300,000 US jobs were created in December, tempering recent concerns about growth. Later that day, Fed boss Jerome Powell said the bank had no "pre-set" plan for raising borrowing costs and was keeping a close watch on financial developments. "We're listening... sensitively to the message that markets are sending and we'll be taking those downside risks into account as we make policy going forward," he told a gathering of economists. The news was music to the ears of traders, who have been fretting that the Fed would press on with its rate hike cycle, making it more expensive to borrow for investment. The comments saw the Dow pile on more than three per cent while the Nasdaq was more than four per cent higher. They also overshadowed the budget gridlock on Capitol Hill that has shut down the US government, with Donald Trump warning it could go on for years if he is not given funding to build a wall on the Mexican border. And the gains filtered through to Asia, where Tokyo's Nikkei ended the morning session 2.8 per cent higher, while Sydney gained 1.3 per cent and Seoul jumped 1.6 per cent. Taipei surged two per cent and Manila was up 1.7 per cent with Jakarta 1.1 per cent up. Risk on 'stable footing' Hong Kong jumped more than one per cent and Shanghai was 0.7 per cent higher, with buying also boosted by news that the People's Bank of China had cut the amount of cash banks must keep in reserve. The move aims to free up funds for lending in a bid to grease the economy's wheels following a string of weak data that has raised questions about the outlook. There was also some optimism as Chinese and US officials kicked off talks to find a solution to the trade war that has seen the two sides impose tariffs in hundreds of billions of dollars worth of goods. The row was a key factor behind the big losses on global markets last year and any move to bring it to an end will be cheered on trading floors. Trump on Friday raised hopes for an agreement, saying: "I think we will make a deal with China." Stephen Innes, head of Asia-Pacific trade at OANDA, said: "Risk sentiment is on more stable footing than we opened 2019 as a confluence of factors including the (China reserve rate) cut, China and the US... holding trade talks this week and of course Chair Powell's comments." All, he said, were "market-friendly developments". The upbeat mood gave a lift to high-yielding currencies, with South Korea's won and the Indonesian rupiah soaring against the dollar, while there were also healthy gains for Australia's dollar. Oil was also benefitting, with both contracts up more than one per cent thanks to the wave of positive headlines. But while there was a sense of hope, analysts remain cagey about the coming months. "I do think going forward you are probably not likely to see that type of move where equities sell off 20 per cent in the space of six weeks, but generally volatility will be higher than what you saw in 2017 and the first half of 2018," Raymond Lee, managing director and portfolio manager at Kapstream Capital, told Bloomberg TV.

Asia markets rally after Wall Sreet surge as US-China trade talks begin

Asian markets fell Wednesday following a rout on Wall Street, as investors were bombarded by a "perfect storm" of problems that erased the positivity seen at the start of the week.

The glum mood overshadowed hints from Donald Trump at more time to resolve the China-US trade row, as well as soothing comments from China about their desire to push on with a weekend agreement between the world's top economies.

Trading floors are awash with uncertainty over the agreement Trump hammered out with Xi Jinping to much fanfare -- and an initial market rally -- in Buenos Aires, with little clarity emerging and the US president shifting his tone.

While he hailed the deal at first, on Tuesday he warned on Twitter "remember, I am a Tariff Man", adding "When people or countries come in to raid the great wealth of our Nation, I want them to pay for the privilege of doing so".

Then, in another tweet he left open the door to an extension of the agreement's 90-day timeline to end the row.

On Wednesday, China's commerce ministry called the pact "successful" and said it "will start with the implementation of the specific matters in which consensus has been reached, the sooner the better", without providing more details.

Adding to the mounting risks are concerns about the US economy after the difference in yields on two- and 10-year bonds narrowed, suggesting traders are increasingly concerned about longer-term prospects.

The are fears of an "inversion" where short-term yields overtake long-term rates, which in the past has been the precursor to a recession.

Wall Street suffered a battering, with the Dow slipping 3.1 per cent, S&amp;P 500 3.2 per cent lower and Nasdaq 3.8 per cent off.

The selling continued into Asia, where Hong Kong plunged 1.6 per cent, Shanghai lost 0.8 per cent and Tokyo ended the morning 0.4 per cent down.

Pound's Brexit woes

Singapore shed 0.8 per cent and Seoul was 0.6 per cent off, while Wellington dived 1.3 per cent. Sydney shed 1.2 per cent after data showed the Australian economy grew at a slower pace than expected in July-September. The Australian dollar also sank more than one per cent.

The selling "has all the nasty hallmarks that traders typically call the perfect storm," said Stephen Innes, head of Asia-Pacific trade at OANDA. He said investors "are probably left feeling duped, tricked and maybe even snookered by some ill-advised backslapping comments post G20".

"While trade war is certainly the number one driver of global risk sentiment, the current meltdown is morphing into a Hydra with familiar points of irritation -- trade, (Federal Reserve), Brexit, Italy, global growth -- coming to a head," he added.

On currency markets the pound continued to struggle on concerns that Britain could be heading for the EU exit without a deal, which most observers fear could hammer the economy.

Sterling hit a 17-month low Tuesday after Prime Minister Theresa May suffered stunning defeats in parliament that highlighted the uphill fight she has in pushing through her controversial Brexit deal.

If she loses there are expectations she will face a no-confidence vote and possible defeat that could force early elections and leave the country in chaos.

Oil prices were also down more than one per cent after another jump in US inventories came as Saudi Arabia raised questions about the chances of an output cut at a meeting of OPEC and non-OPEC members at the weekend.

Energy Minister Khalid Al-Falih said it was "premature to say what will happen" in Vienna, days after Russian President Vladimir Putin had said the two major producers had agreed to a cap to support prices.

"We need to get together and listen to our colleagues, hear about their views on supply and demand and their projections of their own countries’ production," he said.

Crude had surged Monday and Tuesday after Putin's comments.

"It’s not a good price signal," Bob Yawger, director of futures at Mizuho Securities USA, told Bloomberg News. "Either demand is bad or all the talk about cutting production is just lip service."

Asian markets fell Wednesday following a rout on Wall Street, as investors were bombarded by a "perfect storm" of problems that erased the positivity seen at the start of the week.

Asian markets fell Wednesday following a rout on Wall Street, as investors were bombarded by a "perfect storm" of problems that erased the positivity seen at the start of the week. The glum mood overshadowed hints from Donald Trump at more time to resolve the China-US trade row, as well as soothing comments from China about their desire to push on with a weekend agreement between the world's top economies. Trading floors are awash with uncertainty over the agreement Trump hammered out with Xi Jinping to much fanfare -- and an initial market rally -- in Buenos Aires, with little clarity emerging and the US president shifting his tone. While he hailed the deal at first, on Tuesday he warned on Twitter "remember, I am a Tariff Man", adding "When people or countries come in to raid the great wealth of our Nation, I want them to pay for the privilege of doing so". Then, in another tweet he left open the door to an extension of the agreement's 90-day timeline to end the row. On Wednesday, China's commerce ministry called the pact "successful" and said it "will start with the implementation of the specific matters in which consensus has been reached, the sooner the better", without providing more details. Adding to the mounting risks are concerns about the US economy after the difference in yields on two- and 10-year bonds narrowed, suggesting traders are increasingly concerned about longer-term prospects. The are fears of an "inversion" where short-term yields overtake long-term rates, which in the past has been the precursor to a recession. Wall Street suffered a battering, with the Dow slipping 3.1 per cent, S&P 500 3.2 per cent lower and Nasdaq 3.8 per cent off. The selling continued into Asia, where Hong Kong plunged 1.6 per cent, Shanghai lost 0.8 per cent and Tokyo ended the morning 0.4 per cent down. Pound's Brexit woes Singapore shed 0.8 per cent and Seoul was 0.6 per cent off, while Wellington dived 1.3 per cent. Sydney shed 1.2 per cent after data showed the Australian economy grew at a slower pace than expected in July-September. The Australian dollar also sank more than one per cent. The selling "has all the nasty hallmarks that traders typically call the perfect storm," said Stephen Innes, head of Asia-Pacific trade at OANDA. He said investors "are probably left feeling duped, tricked and maybe even snookered by some ill-advised backslapping comments post G20". "While trade war is certainly the number one driver of global risk sentiment, the current meltdown is morphing into a Hydra with familiar points of irritation -- trade, (Federal Reserve), Brexit, Italy, global growth -- coming to a head," he added. On currency markets the pound continued to struggle on concerns that Britain could be heading for the EU exit without a deal, which most observers fear could hammer the economy. Sterling hit a 17-month low Tuesday after Prime Minister Theresa May suffered stunning defeats in parliament that highlighted the uphill fight she has in pushing through her controversial Brexit deal. If she loses there are expectations she will face a no-confidence vote and possible defeat that could force early elections and leave the country in chaos. Oil prices were also down more than one per cent after another jump in US inventories came as Saudi Arabia raised questions about the chances of an output cut at a meeting of OPEC and non-OPEC members at the weekend. Energy Minister Khalid Al-Falih said it was "premature to say what will happen" in Vienna, days after Russian President Vladimir Putin had said the two major producers had agreed to a cap to support prices. "We need to get together and listen to our colleagues, hear about their views on supply and demand and their projections of their own countries’ production," he said. Crude had surged Monday and Tuesday after Putin's comments. "It’s not a good price signal," Bob Yawger, director of futures at Mizuho Securities USA, told Bloomberg News. "Either demand is bad or all the talk about cutting production is just lip service."

Asian markets track Wall St rout as confusion, uncertainty reign

Asian markets were mixed Tuesday as dealers focused on crunch G20 talks between Donald Trump and Xi Jinping, with the US president warning he will ramp up his trade war with China if the two do not reach a deal.

With the economic superpowers in the middle of an increasingly bitter standoff, there are hopes the two leaders will be able to work out an agreement that brings them back from the brink of a tariffs row that threatens to dent global growth.

In an interview with the Wall Street Journal published Monday, Trump said he thought it "highly unlikely" the US would hold off more than doubling duties on $250 billion of Chinese imports if there is no breakthrough.

"If we don't make a deal, then I'm going to put the $267 billion additional on," he told the newspaper, referring to the remainder of Chinese imports that so far have not been hit with tariffs.

"The only deal would be China has to open up their country to competition from the United States."

While some observers suggested the comments were a typical Trump ploy to apply maximum pressure on Beijing heading into the meeting, there remain fears about what the tycoon has in mind.

"It doesn't sound like we will see Donald the Deal Maker but instead Trump the Trade Warrior at G20," said Stephen Innes, head of Asia-Pacific trade at OANDA.

Asian traders moved cautiously in early exchanges after Monday's global rally, which was fuelled by rising oil prices, Italy's softer tone in its budget standoff with Brussels and Britain's Brexit agreement with the European Union.

Oil outlook warning

Tokyo ended the morning 0.1 per cent higher, Shanghai added 0.1 per cent and Sydney rose 0.5 per cent but Hong Kong and Singapore each slipped 0.6 per cent.

Seoul and Wellington both added 0.3 per cent but Taipei shed 0.6 per cent and Manila gave up 0.5 per cent.

While the meeting is the main event this week, investors are also keeping an eye on speeches from top Federal Reserve officials including boss Jerome Powell, which could signal a softer pace of interest rate hikes.

Rising US borrowing costs -- fuelled by surging US growth -- have been a major cause of concern for investors but recent comments from the central banker appear to show a more dovish outlook for 2019 as the global economy slows.

On oil markets both main contracts remained under pressure despite Monday's jump, with market-watchers waiting for next month's gathering of OPEC and non-OPEC members hoping they will announce a cut in output.

The commodity has been hammered since early October by a series of issues including the uncertain global outlook, the trade war, rising supplies, slowing demand and weakness in China.

As trade tensions begin to bite on the global economy, analysts are predicting slower growth into next year, meaning there would be less demand for oil.&nbsp;

"It has been our long-held view that slower global economic activity would be a factor weighing on oil demand in 2019 and that the market would move into surplus," London-based Capital Economics said.

Key figures around 0245 GMT

Tokyo - Nikkei 225: UP 0.1 percent at 21,843.37 (break)

Hong Kong - Hang Seng: DOWN 0.6 per cent at 26,226.26

Shanghai - Composite: UP 0.4 percent at 2,586.54

Euro/dollar: UP at $1.1332 from $1.1326 at 2130 GMT

Euro/pound: UP at 88.46 pence from 88.44 pence

Pound/dollar: UP at $1.2811 from $1.2806&nbsp;

Oil - West Texas Intermediate: DOWN 26 cents at $51.37 per barrel&nbsp;

Oil - Brent Crude: DOWN 17 cents at $60.31 per barrel

New York - Dow Jones: UP 1.5 percent at 24,640.24 (close)

London - FTSE 100: UP 1.2 percent at 7,036.00 (close)

Asian markets were mixed Tuesday as dealers focused on crunch G20 talks between Donald Trump and Xi Jinping, with the US president warning he will ramp up his trade war with China if the two do not reach a deal.

Asian markets were mixed Tuesday as dealers focused on crunch G20 talks between Donald Trump and Xi Jinping, with the US president warning he will ramp up his trade war with China if the two do not reach a deal. With the economic superpowers in the middle of an increasingly bitter standoff, there are hopes the two leaders will be able to work out an agreement that brings them back from the brink of a tariffs row that threatens to dent global growth. In an interview with the Wall Street Journal published Monday, Trump said he thought it "highly unlikely" the US would hold off more than doubling duties on $250 billion of Chinese imports if there is no breakthrough. "If we don't make a deal, then I'm going to put the $267 billion additional on," he told the newspaper, referring to the remainder of Chinese imports that so far have not been hit with tariffs. "The only deal would be China has to open up their country to competition from the United States." While some observers suggested the comments were a typical Trump ploy to apply maximum pressure on Beijing heading into the meeting, there remain fears about what the tycoon has in mind. "It doesn't sound like we will see Donald the Deal Maker but instead Trump the Trade Warrior at G20," said Stephen Innes, head of Asia-Pacific trade at OANDA. Asian traders moved cautiously in early exchanges after Monday's global rally, which was fuelled by rising oil prices, Italy's softer tone in its budget standoff with Brussels and Britain's Brexit agreement with the European Union. Oil outlook warning Tokyo ended the morning 0.1 per cent higher, Shanghai added 0.1 per cent and Sydney rose 0.5 per cent but Hong Kong and Singapore each slipped 0.6 per cent. Seoul and Wellington both added 0.3 per cent but Taipei shed 0.6 per cent and Manila gave up 0.5 per cent. While the meeting is the main event this week, investors are also keeping an eye on speeches from top Federal Reserve officials including boss Jerome Powell, which could signal a softer pace of interest rate hikes. Rising US borrowing costs -- fuelled by surging US growth -- have been a major cause of concern for investors but recent comments from the central banker appear to show a more dovish outlook for 2019 as the global economy slows. On oil markets both main contracts remained under pressure despite Monday's jump, with market-watchers waiting for next month's gathering of OPEC and non-OPEC members hoping they will announce a cut in output. The commodity has been hammered since early October by a series of issues including the uncertain global outlook, the trade war, rising supplies, slowing demand and weakness in China. As trade tensions begin to bite on the global economy, analysts are predicting slower growth into next year, meaning there would be less demand for oil. "It has been our long-held view that slower global economic activity would be a factor weighing on oil demand in 2019 and that the market would move into surplus," London-based Capital Economics said. Key figures around 0245 GMT Tokyo - Nikkei 225: UP 0.1 percent at 21,843.37 (break) Hong Kong - Hang Seng: DOWN 0.6 per cent at 26,226.26 Shanghai - Composite: UP 0.4 percent at 2,586.54 Euro/dollar: UP at $1.1332 from $1.1326 at 2130 GMT Euro/pound: UP at 88.46 pence from 88.44 pence Pound/dollar: UP at $1.2811 from $1.2806 Oil - West Texas Intermediate: DOWN 26 cents at $51.37 per barrel Oil - Brent Crude: DOWN 17 cents at $60.31 per barrel New York - Dow Jones: UP 1.5 percent at 24,640.24 (close) London - FTSE 100: UP 1.2 percent at 7,036.00 (close)

Asian markets mixed as Trump threatens to ramp up trade war

Most Asian markets rose Monday as investors tentatively pick up cheap stocks, with focus on an expected meeting between Donald Trump and Xi Jinping at the weekend that will be watched for signs of a softening in the China-US trade war.

The broad gains came despite more hefty selling in energy firms after another collapse in oil prices on Friday, while the pound was flat against the dollar after European Union leaders approved a Brexit deal but which must be cleared by British MPs who mostly oppose it.

The positive mood comes at the start of a key week that sees a speech by Federal Reserve boss Jerome Powell and the release of the bank's last policy meeting minutes, before culminating in the G20 in Buenos Aires.

While the summit will focus on several global issues, the meeting between Trump and Xi will get the most attention with the economic superpowers engaged in a trade war just as global growth starts to stutter.

But expectations for a deal to end the standoff are low.

"It would seem that President Xi and President Trump have every incentive to come to an agreement on trade issues, even if that agreement does not significantly change the status quo," said JP Morgan Asset Management chief global strategist David Kelly.

"However, perceptions are important on both sides. While some hold out the hope that an agreement in principle will be reached, it seems more likely that an agreement will have to wait for more posturing on both sides."

Stephen Innes, head of Asia-Pacific trade at OANDA, called the meeting "possibly the best and last opportunity for the two leaders to share middle ground".

"The big question is are we going to see Trump the 'deal maker' or Trump the 'trade warrior' who wants China to 'feel more pain'? Keeping in mind that betting against the latter has been a poor bet for traders this year."

Crude woes

Still, the week has started on an upbeat note with Hong Kong jumping 1.5 per cent and Shanghai 0.4 per cent higher, while Tokyo went into the break 0.8 per cent higher.

Singapore added 0.6 per cent, Seoul and Taipei each jumped more than one per cent, and Manila gained 0.6 per cent.

However, Wellington and Sydney both declined.

Oil prices edged up slightly but remain well beaten down after Friday's hammering, which saw WTI sink 7.7 per cent and Brent more than six per cent, putting them at lows not seen for more than a year.

The commodity has plunged by about a third from its four-year highs touched at the start of October owing to a range of issues, including a global slowdown, the trade row, rising supplies, softer-than-expected US sanctions on Iran, a stuttering China and strong dollar.

The retreat comes ahead of a meeting of the Organization of the Petroleum Exporting Countries on December 6.

"At the root of the oil market woes, there is too much supply and too little demand," said Innes. "But much of the near term price recovery will be driven by what happens in G20 in Buenos Aires and at the OPEC summit in Vienna a week later."

The losses in crude prices have battered energy firms over the past two months, and they continued to fall Monday.

Hong Kong-listed PetroChina fell 1.5 per cent, while Sinopec was one per cent off. Inpex dropped 2.9 per cent in Tokyo and Woodside Petroleum sank 2.2 per cent in Sydney.

On currency markets, the pound was barely moved against the dollar as British Prime Minister Theresa May faces an uphill struggle pushing through her draft Brexit deal, with MPs on both sides against it.

May has staked her political future on the agreement and failure would likely lead to the toppling of her government, fuelling fresh uncertainty and hitting the sterling.

EU leaders have said the deal is the best possible one Britain could hope for, meaning a rejection of it will more than likely see the country crash out of the bloc.

Key figures around 0230 GMT&nbsp;

Tokyo - Nikkei 225: UP 0.8 percent at 21,815.55 (break)

Hong Kong - Hang Seng: UP 1.5 percent at 26,314.63

Shanghai - Composite: UP 0.4 percent at 2,590.89

Pound/dollar: UP at $1.2810 from $1.2805 at 1930 GMT Friday

Euro/dollar: UP at $1.1333 from $1.1331

Dollar/yen: UP at 113.07 yen from 112.85 yen

Oil - West Texas Intermediate: UP 40 cents at $50.82 per barrel

Oil - Brent Crude: UP 67 cents at $59.47 per barrel

New York - Dow Jones: DOWN 0.7 percent at 24,285.95 (close)

London - FTSE 100: DOWN 0.1 percent at 6,952.86 (close)

Most Asian markets rose Monday as investors tentatively pick up cheap stocks, with focus on an expected meeting between Donald Trump and Xi Jinping at the weekend that will be watched for signs of a softening in the China-US trade war.

Most Asian markets rose Monday as investors tentatively pick up cheap stocks, with focus on an expected meeting between Donald Trump and Xi Jinping at the weekend that will be watched for signs of a softening in the China-US trade war. The broad gains came despite more hefty selling in energy firms after another collapse in oil prices on Friday, while the pound was flat against the dollar after European Union leaders approved a Brexit deal but which must be cleared by British MPs who mostly oppose it. The positive mood comes at the start of a key week that sees a speech by Federal Reserve boss Jerome Powell and the release of the bank's last policy meeting minutes, before culminating in the G20 in Buenos Aires. While the summit will focus on several global issues, the meeting between Trump and Xi will get the most attention with the economic superpowers engaged in a trade war just as global growth starts to stutter. But expectations for a deal to end the standoff are low. "It would seem that President Xi and President Trump have every incentive to come to an agreement on trade issues, even if that agreement does not significantly change the status quo," said JP Morgan Asset Management chief global strategist David Kelly. "However, perceptions are important on both sides. While some hold out the hope that an agreement in principle will be reached, it seems more likely that an agreement will have to wait for more posturing on both sides." Stephen Innes, head of Asia-Pacific trade at OANDA, called the meeting "possibly the best and last opportunity for the two leaders to share middle ground". "The big question is are we going to see Trump the 'deal maker' or Trump the 'trade warrior' who wants China to 'feel more pain'? Keeping in mind that betting against the latter has been a poor bet for traders this year." Crude woes Still, the week has started on an upbeat note with Hong Kong jumping 1.5 per cent and Shanghai 0.4 per cent higher, while Tokyo went into the break 0.8 per cent higher. Singapore added 0.6 per cent, Seoul and Taipei each jumped more than one per cent, and Manila gained 0.6 per cent. However, Wellington and Sydney both declined. Oil prices edged up slightly but remain well beaten down after Friday's hammering, which saw WTI sink 7.7 per cent and Brent more than six per cent, putting them at lows not seen for more than a year. The commodity has plunged by about a third from its four-year highs touched at the start of October owing to a range of issues, including a global slowdown, the trade row, rising supplies, softer-than-expected US sanctions on Iran, a stuttering China and strong dollar. The retreat comes ahead of a meeting of the Organization of the Petroleum Exporting Countries on December 6. "At the root of the oil market woes, there is too much supply and too little demand," said Innes. "But much of the near term price recovery will be driven by what happens in G20 in Buenos Aires and at the OPEC summit in Vienna a week later." The losses in crude prices have battered energy firms over the past two months, and they continued to fall Monday. Hong Kong-listed PetroChina fell 1.5 per cent, while Sinopec was one per cent off. Inpex dropped 2.9 per cent in Tokyo and Woodside Petroleum sank 2.2 per cent in Sydney. On currency markets, the pound was barely moved against the dollar as British Prime Minister Theresa May faces an uphill struggle pushing through her draft Brexit deal, with MPs on both sides against it. May has staked her political future on the agreement and failure would likely lead to the toppling of her government, fuelling fresh uncertainty and hitting the sterling. EU leaders have said the deal is the best possible one Britain could hope for, meaning a rejection of it will more than likely see the country crash out of the bloc. Key figures around 0230 GMT Tokyo - Nikkei 225: UP 0.8 percent at 21,815.55 (break) Hong Kong - Hang Seng: UP 1.5 percent at 26,314.63 Shanghai - Composite: UP 0.4 percent at 2,590.89 Pound/dollar: UP at $1.2810 from $1.2805 at 1930 GMT Friday Euro/dollar: UP at $1.1333 from $1.1331 Dollar/yen: UP at 113.07 yen from 112.85 yen Oil - West Texas Intermediate: UP 40 cents at $50.82 per barrel Oil - Brent Crude: UP 67 cents at $59.47 per barrel New York - Dow Jones: DOWN 0.7 percent at 24,285.95 (close) London - FTSE 100: DOWN 0.1 percent at 6,952.86 (close)

Asian markets mostly up as eyes turn to Trump-Xi talks

The BSE benchmark Sensex Friday soared over 413 points to 34,845.15 and the NSE Nifty raced past 10,500 on widespread gains amid fresh foreign fund inflows, fall in global crude prices and rising rupee.

Positive leads from most other Asian markets on easing concerns over the US-China trade war, too, buoyed sentiments here.

The 30-share Sensex climbed 413.15 points, or 1.20 per cent, to quote at 34,845.15. The gauge had shed 10 points in Thursday's volatile session.

The NSE Nifty leaped 122.85 points, or 1.18 per cent, to 10,503.30.

Investor sentiment got a big push after Brent crude, the international benchmark, dropped below the USD 73-mark to quote at a seven-month low of USD 72.65 by falling 3.48 per cent, traders said.

Adding to the upbeat mood, strengthening rupee against the dollar and a firm trend at other Asian markets, tracking overnight gains at the Wall Street after US President Donald Trump said trade talks with China were "moving along nicely".

Foreign institutional investors (FIIs), which had been selling on the Indian bourses, made fresh purchases worth Rs 348.75 crore Thursday, while DIIs sold shares to the tune of Rs 509.17 crore, provisional data showed.

The big gainers were Asian Paint, Yes Bank, Bajaj Auto, Hero MotoCorp, IndusInd Bank, Tata Motors, M&amp;M, Maruti Suzuki, SBI, L&amp;T, Axis Bank, ITC, Bharti Airtel, HUL, RIL, Kotak Bank and ICICI Bank, gaining up to 5.80 per cent.

Shares of state-run oil market companies such as HPCL, BPCL and IOC rose up to 3.76 per cent, largely supported by fall in crude prices in the global market.

All the sectoral indices led by auto, consumer durables and oil &amp; gas were trading in the positive zone, with gains of up to 2.65 per cent.

Elsewhere in Asia, Hong Kong's Hang Seng rose 2.37 per cent, Shanghai Composite Index was up 1.21 per cent, Japan's Nikkei gained 0.70 per cent, and Korea rallied 2.13 per cent.

The US Dow Jones Industrial Average had gained 1.06 per cent in Thursday's session.&nbsp;

The BSE benchmark Sensex Friday soared over 413 points to 34,845.15 and the NSE Nifty raced past 10,500 on widespread gains amid fresh foreign fund inflows, fall in global crude prices and rising rupee.

The BSE benchmark Sensex Friday soared over 413 points to 34,845.15 and the NSE Nifty raced past 10,500 on widespread gains amid fresh foreign fund inflows, fall in global crude prices and rising rupee. Positive leads from most other Asian markets on easing concerns over the US-China trade war, too, buoyed sentiments here. The 30-share Sensex climbed 413.15 points, or 1.20 per cent, to quote at 34,845.15. The gauge had shed 10 points in Thursday's volatile session. The NSE Nifty leaped 122.85 points, or 1.18 per cent, to 10,503.30. Investor sentiment got a big push after Brent crude, the international benchmark, dropped below the USD 73-mark to quote at a seven-month low of USD 72.65 by falling 3.48 per cent, traders said. Adding to the upbeat mood, strengthening rupee against the dollar and a firm trend at other Asian markets, tracking overnight gains at the Wall Street after US President Donald Trump said trade talks with China were "moving along nicely". Foreign institutional investors (FIIs), which had been selling on the Indian bourses, made fresh purchases worth Rs 348.75 crore Thursday, while DIIs sold shares to the tune of Rs 509.17 crore, provisional data showed. The big gainers were Asian Paint, Yes Bank, Bajaj Auto, Hero MotoCorp, IndusInd Bank, Tata Motors, M&M, Maruti Suzuki, SBI, L&T, Axis Bank, ITC, Bharti Airtel, HUL, RIL, Kotak Bank and ICICI Bank, gaining up to 5.80 per cent. Shares of state-run oil market companies such as HPCL, BPCL and IOC rose up to 3.76 per cent, largely supported by fall in crude prices in the global market. All the sectoral indices led by auto, consumer durables and oil & gas were trading in the positive zone, with gains of up to 2.65 per cent. Elsewhere in Asia, Hong Kong's Hang Seng rose 2.37 per cent, Shanghai Composite Index was up 1.21 per cent, Japan's Nikkei gained 0.70 per cent, and Korea rallied 2.13 per cent. The US Dow Jones Industrial Average had gained 1.06 per cent in Thursday's session.

Sensex rallies over 400 points on strong global cues, falling crude prices

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