World stocks remained close to record peaks Thursday after the USA and China signed the phase 1 of a settlement to bring a truce to their 18-month trade war.
MSCI’s broadest index of world stocks was up 0.1%. London, Frankfurt, Paris helped Europe begin stronger after China’s greatest shares slid overnight.
The interim pact signed by U.S. President Donald Trump and Chinese Vice Premier Liu He will roll again only a few tariffs that the two sides have been slapping on one another. The rest remain in place for what seems to be another problematic phase of discussions.
Traders were also sizing up rising-market central bank conferences in Turkey, South Africa, and Egypt. Turkey was anticipated to cut rates of interest further.
The European Central Bank was due to release its December meeting, shortly before a speech by Christine Lagarde.
Andy Haldane was also due to speak. She is one of the Bank of England’s last holdouts in opposition to a rate cut. Weak UK inflation records had proved treacherous for the pound Wednesday, so his view will be heard carefully.
Japan’s Nikkei ended 0.07% higher, and China’s Shanghai Composite index tanked 0.5% in its third day of losses.
Investors lauded closing of Wall Street’s Dow Jones Industrial Average above 29,000 for the first time.
U.S. stocks are now trading above 18 times anticipated earnings, near publish-2008 financial disaster peak in 2018.