Updated Jun 3, Monday, May 7, 2018
HONG KONG (AP) – World equities were higher on Monday after strong gains on Wall Street after the US unemployment rate hit an 18-year -Tief reached unresolved trading tensions between Washington and Beijing.
KEEPING SCORE: European stocks rose in early trading. The German DAX rose 0.4 percent to 12,866.38 and the British FTSE 100 climbed 0.9 percent to 7,567.14. France's CAC 40 rose less than 0.1 percent to 5,517.49 as a decline in Air France shares during the recent strike weighed on sentiment. Wall Street was ready to open higher. Dow futures added 0.2 percent to 24,283.00, and broader S & P 500 futures gained 0.3 percent to 2,670.50.
ASIA DAY: Japan's benchmark Nikkei 225 index fell less than 0.1 percent to 22,457.16, but Hong Kong's Hang Seng index rose 0.2 percent to 29,994.26. The Shanghai Composite Index in China rose 1.5 percent to 3,136.64 and the Australian S & P / ASX 200 climbed 0.4 percent to 6,084.50. Taiwan's benchmark rose, but Southeast Asian indices were mostly lower. The South Korean markets were closed for holidays.
U.S. JOB MARKET: The latest monthly job report showed that attitudes in the US continued to be solid and wages increased moderately. A sign that the world's largest economy remains resilient despite concerns over trade conflicts with China. US government figures showed that employers created 164,000 jobs in April, upping the 91st consecutive month. The unemployment rate dropped to 3.9 percent, the lowest since December 2000.
TRADE REQUIREMENTS: Tensions in Beijing last Friday without agreement. The Trump government called on China to reduce its trade deficit by $ 200 billion by the end of 2020, stop subsidizing key industries and end some technology transfer policies, which is a major issue in the dispute. China presented its own concerns and asked the US for help in protecting intellectual property and technology exports, which were considered to be strategically sensitive.
QUOTEWORTHY: "The ongoing negotiations may have taken some time and tensions in the short term, but investors remain alert to another round of trade threats," said Hussein Sayed, chief strategist at FXTM. "Markets will scrutinize every statement by President Trump on this front."
AIR FRANCE STRIKE: The airline's shares plunged 12 percent after workers went on strike, resulting in the cancellation of 15 percent of flights worldwide. France's finance minister warned that the government would not come to the rescue of the airline and that their survival is at stake.
ENERGY: Oil futures rose to their highest level since November 2014. Benchmark US crude rose 66 cents to $ 70.38 a barrel in electronic trading on the New York Mercantile Exchange. The contract rose 1.9 percent to $ 69.72 a barrel on Friday. Brent crude, the international standard, rose 63 cents to $ 75.50 a barrel in London.
CURRENCIES: The dollar rose from 109.08 yen to 109.31 yen. The euro fell from 1.1960 USD to 1.1928 USD.