· Asian shares scaled eight-month peaks on Friday as a last-gasp Sino-U.S. trade deal and a likely major election win by Britain’s Conservative Party cleared a couple of dark clouds from the global horizon.
The double dose of relief slugged safe-haven sovereign bonds and the Japanese yen, and led markets to scale back the chance of more interest rates cuts around the world.
MSCI’s broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS jumped 1.5% to its highest since late April.
· Japan’s Nikkei share average jumped to a 14-month high on Friday, boosted by gains in value stocks such as banks and steelmakers on hopes of a U.S.-China trade deal heralding robust global growth.
The Nikkei 225 index surged 2.55% to end at 24,023.10, hitting its highest levels since October last year and marking its biggest daily gain in 10 months.
The index made a decisive break above a resistance around 23,600. Its next target is seen at 24,448, a 27-year peak marked on Oct. 2 last year.
· Mainland Chinese stocks rose on the day, with the Shanghai composite gaining 1.78% to around 2,967.68 and the Shenzhen component up 1.71% to 10,004.62. The Shenzhen composite also advanced 1.48% to about 1,660.55.
· European stocks surged Friday morning after news that the U.S. and China have reached a phase one trade deal in principle, while the U.K.’s ruling Conservative Party has won a commanding majority in the general election.
The pan-European Stoxx 600 jumped 1.5% after the opening bell, with banks soaring 3.6% to lead gains as the majority of sectors and major bourses traded firmly in positive territory.
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