Markets climb on Phase One trade deal | Calamatta Cuschieri

US markets closed higher on Friday however off the session’s highs after US President Donald Trump and Chinese officials announced a series of rollbacks of tariffs and import duties originally set to take place on Sunday. The Dow Jones Industrial Average rose 3.33 points, or less than 0.1 percent to 28,135.38 while the S&P 500 index edged up 0.23 points or 0.01 percent to 3,168.80, a new record close. The Nasdaq Composite Index rose 17.56 points, or 0.2 percent, sending it to close at a new record of 8,734.88.

European markets also climbed on Friday as the Conservative party won the UK general election. The pan-European Stoxx 600 index climbed 1.18 percent to 412.38 with the UK’s FTSE 100 jumping 1.77 percent to 7,402.1 with homebuilders and banks leading the gains. Germany’s DAX advanced 0.54 percent to 13,293.06.

Maltese markets remained close as the country celebrated its Republic Day holiday on the 13th of December.

US-China reach Phase One deal

U.S. President Donald Trump on Friday said the United States had reached a so-called Phase One trade deal with China in which Washington would suspend tariffs on Chinese imports scheduled for Sunday, while Beijing would step up purchases of U.S. agricultural products.

“We have agreed to a very large Phase One Deal with China. They have agreed to many structural changes and massive purchases of Agricultural Product, Energy, and Manufactured Goods, plus much more,” Trump said on Twitter.

Boeing walks from US defence contract

Boeing Co has decided not to compete as a prime contractor to replace the Pentagon’s aging U.S.-based Minuteman III missile system, paving the way for Northrop Grumman Corp to win a contract worth tens of billions of dollars.

Boeing said in a statement that it was disappointed it was unable to submit a bid. Northrop said it had submitted its proposal. No other bidders were expected. Friday marked the deadline to submit proposals to continue work on the replacement of the nearly half-century-old intercontinental ballistic missile (ICBM) system as the military embarks on a costly modernization of its aging atomic weapons.
 

This article was issued by Peter Petrov, Trader at Calamatta Cuschieri. For more information visit, www.cc.com.mt. The information, view and opinions provided in this article are being provided solely for educational and informational purposes and should not be construed as investment advice, advice concerning particular investments or investment decisions, or tax or legal advice. Calamatta Cuschieri Investment Services Ltd has not verified and consequently neither warrants the accuracy nor the veracity of any information, views or opinions appearing on this website.