Stocks start the week with optimism, bonds drop

Stock markets today began trading in Europe and the US with a positive attitude that is still relevant after the Trump administration has signaled progress in the negotiations. There has also been growing speculation that central banks will intervene to "save their economies". The bonds are sinking.

The S & P500 is about to record growth for the third consecutive day after the U.S. Commerce Secretary Wilbur Ross said some of the restrictions previously envisaged against Huawei would be delayed. Long-term bonds moved away from another inversion. The German Bund also sank after the German government said it was preparing fiscal stimulus. Oil has been holding off its rises today after a drone attack on an Arab oil field earlier. Gold is giving way.

The week begins with a positive note following news around Huawei, which was seen as encouraging that China and the US are nearing a trade agreement. The announcement follows a tweet from Trump over the weekend that "everything is very good, negotiations are ongoing," but does not indicate he is ready for a deal.

In addition to the trade war, investors will also turn their attention to Jerome Powell, who made a statement at Jackson Hole on Friday.

Source: Bloomberg Finance L.P.

Graphs: Used with permission of Bloomberg Finance L.P.

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