Trade war truce drives rally in Asian markets

Investors have been on a hair trigger for months waiting for a ceasefire in the trade war so when it came on the weekend, they were primed for action when markets opened yesterday.
Investors have been on a hair trigger for months waiting for a ceasefire in the trade war so when it came on the weekend, they were primed for action when markets opened yesterday.PHOTO: AFP

Investors have been on a hair trigger for months waiting for a ceasefire in the trade war so when it came on the weekend, they were primed for action when markets opened yesterday.

Shares surged across Asia as relieved traders piled back in on news that the US and China were talking again. A 5 per cent jump in the oil price on news of production cuts did not hurt the mood either.

The good cheer sent the Straits Times Index surging 2.34 per cent to 3,190.62 points.

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A version of this article appeared in the print edition of The Straits Times on December 04, 2018, with the headline 'Trade war truce drives rally in Asian markets'. Print Edition | Subscribe