Trade tensions eased between US and China – Danske Bank

The Asian equity markets followed the positive trend from the US markets as tensions over the possible trade was between US and China have eased, explains the research team at Danske Bank.

Key Quotes

“There have been talks between US Treasury Secretary Steven Mnuchin and his Chinese counterparts on how to reduce the trade gap between China and the US as well as China avoiding the tariffs on exports to the US.”

“Furthermore, the North Korean leaders made a surprise visit to China, which was also seen as a positive factor for the markets with the South Korean won strengthening this morning. Hence, the Nikkei jumped more than 2% this morning. The JPY weakened modestly against the dollar.”