Wall Street Cheers Trump-Xi Meeting Set for Next Week

After being weighed down by uncertainty surrounding the trade war, stocks were given a boost Tuesday after President Donald Trump announced he will sit down with China’s President Xi Jinping at the G20 summit in Japan for an extended meeting, ending weeks of will-they-won’t-they speculation and fueling hope for a resolution. Making the announcement just hours before launching his 2020 re-election bid, Trump tweeted that he had spoken to his Chinese counterpart on the phone and arranged for their teams to start talking before they meet face to face next week. The news, also confirmed by China’s state newspaper Xinhua, immediately sent the Dow Jones Industrial Average surging 350 points as investors interpreted it as a positive sign that a further round of tariffs could be avoided. By the end of the day, the leading stock index had managed to hold onto all of its gains, closing up 353 points, with Wall Street also buoyed by speculation that the Federal Reserve could on Wednesday signal that rate cuts are on their way. The G20 summit will mark the first time that the two leaders will meet since trade talks broke down in early May after China allegedly reneged on a number of commitments it

Follow WWD on Twitter or become a fan on Facebook.

Read More...

from WWDWWD http://bit.ly/2Ir59Pd