Home » Stocks & Shares » Global shares soar following trade news and Brexit boosts

Global shares soar following trade news and Brexit boosts

Andia Rispah
  • December 13th, 12:27
  • Last Updated: December 13th, 16:36
  • Shares traded on a record high on Friday after a thumping election win by Tory's win, clearing one the darkest clouds on the global investment horizon.
  • The safe-haven sovereign bonds and the Japanese yen received their dose of relief.
  • Oil prices rallied on hopes a trade deal would support global growth and thus demand.

Shares traded on a record high on Friday after a thumping election win by the Conservative Party win. The victory has cleared two of the darkest clouds on the global investment horizon.

The safe-haven sovereign bonds and the Japanese yen received their dose of relief. They led markets to lower the chance of more rate cuts globally.

Global investors have been given two of the biggest gifts on their Christmas list and should be appreciative for a while at least,” said Sean Callow. 

Sean Callow is a senior forex analyst at Westpac.

Global equity indices such as MSCI World should set more record highs, and sterling could push above $1.36,” he added.

Europe’s pan-regional STOXX 600 share market seemed set to open almost 1.5% higher on the twin boosts.

In Asia, Japan’s Nikkei climbed 2.5% to a 14-month top, while Shanghai blue chips advanced 2%.

MSCI’s broadest index of Asia-Pacific shares outside Japan jumped 1.5% to its highest since late April.

E-Mini futures for the S&P 500 rose 0.4% to another peak, though London’s futures were only up a modest 0.2%. Perhaps because a Conservative win had already been priced in, but also because a stronger pound makes British firms’ international earnings look less impressive.

Trade News

On Thursday, Wall Street had celebrated the trade news with record highs. 

The Dow ended Thursday up 0.79%, while the S&P 500 gained 0.86% and the Nasdaq 0.73%.

That was bad news for bonds, and yields on U.S. 10-year Treasuries shot up to 1.91%, a rise of 12 basis points in just two sessions.

Spot gold was flat at $1,467.60 per ounce.

Oil prices rallied on hopes a trade deal would support global growth and thus demand. 

The U.S. crude added 31 cents to $59.49 a barrel, while Brent crude rose 42 cents to $64.62.

About the author

Andia Rispah
Andia Rispah
Andia Rispah is a Personal Finance & Investment Writer who helps Financial Advisors to create valuable content to help their clients make smarter financial investments. I use my industry experience to write content that builds awareness, trust and turns readers into raving fans.

Leave a Reply

Investing is speculative. When investing your capital is at risk. This site is not intended for use in jurisdictions in which the trading or investments described are prohibited and should only be used by such persons and in such ways as are legally permitted. Your investment may not qualify for investor protection in your country or state of residence, so please conduct your own due diligence. This website is free for you to use but we may receive commission from the companies we feature on this site. Click here for more information.