Home Forex News Asia Pacific Stocks Get Boost in the Hopes of Resolutions of US-China...

Asia Pacific Stocks Get Boost in the Hopes of Resolutions of US-China Trade War

The trade war between the United States and China has probably been the single most disruptive economic and trading event over the past half a decade or so. When the two biggest economies in the world are involved in a bruising trade war, then the ripples of such a prolonged confrontation are surely going to be felt in the global markets. The markets in the United States, Europe, China, and the Asia Pacific region went through immense turmoil throughout the past few months. Just when it seemed that there was no end in sign to this confrontation between these superpowers, reports have emerged that the situation could yet improve.

As a matter of fact, the reports also stated that a trade envoy from the United States could be in China shortly, in order to thrash out the details of a fresh trade deal. Due to the possibility of a thawing of tensions, the stocks in the Asia Pacific Region have also started rising. The stocks opened higher on Wednesday in the APAC, and the majority of the indices tracking the stocks in the region have been in the green. The Bloomberg news that stated that officials from the United States are going to have a meeting with their counterparts in China has buoyed markets everywhere. After the news broke yesterday, the indices on Wall Street hit record highs as optimism grew among investors that the trade war might be coming to an end after months of sparring between the two nations.

That being said, it is also important to note that the possibility of rate cuts by the European Central Bank this week and the United States Federal Reserve towards the end of the month, is also a major trigger. The muted global growth has forced many banks to consider the possibility of rate cuts in order to stimulate their economies, and that is what investors are expecting this week. Many reports have stated that the ECB is looking to cut rates by 10 basis points, while the Fed might cut rates by 25 basis points.

David Pender
David Pender
David is a journalist interested in writing news-stories regarding forex. He has been in forex industry since 2014. he recently, joined our team as a news writer. He studied mass communication and has 7+ years of experience. He is an avid trader. He can be reached by email: david@forexnews.world.

Must Read

Is Zcash Still a Better Option Than Monero and Dash?

Transaction data of most cryptocurrencies like Bitcoin are distributed on a public ledger that anyone can view. It is the rising concern over the...

Coinbase App vs. Coinbase Wallet App – A Comparative Study

Coinbase is one of the leading cryptocurrency exchanges globally and is a decentralized exchange platform for Bitcoin and various other top cryptocurrencies. Some has...

Litecoin Mining: Know About How to Guide

Introduction: How to mine Litecoin Litecoin (LTC) is one of the earliest digital currencies designed by former Google engineer Charlie Lee in October 2011. Litecoin...

Understanding Crypto Trading: A Guide for Newbies

With 24 hours trading volumes that average around $50 billion or even more and cross over $100 billion, the cryptocurrency market has grown significantly...

Views of Chamath Palihapitiya on Bitcoin

A lot of factors drive the world of cryptocurrency and blockchain technology, and one of the most sophisticated factors that we are going to...