World stocks hit record ahead of US-China trade deal

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NEW YORK -- Bond yields edged higher while a gauge of global equity markets hit a record high on Monday, lifted by optimism over the planned signing this week of a US-China trade deal and hopes the st

art of the US corporate earnings season will not disappoint.

MSCI's gauge of stocks across the globe gained 0.51 percent, topping a record set on Friday, while emerging market stocks rose 0.96 percent. The benchmark S&P 500 and tech-heavy Nasdaq composite indexes also hit all-time and closing highs on Wall Street. Investors are waiting for corporate results that start in earnest this week with large US banks, including Citigroup Inc , JPMorgan Chase & Co and Wells Fargo & Co, due to report on Tuesday. Excluding energy, fourth-quarter earnings growth estimates are 1.9 percent, according to Refinitiv.

"Everything's humming along," he added. "With that said, it doesn't take much to bang down on a market that is fully valued and had quite a run. Let's not kid ourselves." Other European automobile stocks also fell after China's top auto body reiterated predictions that sales were likely to shrink for the third consecutive year in 2020.

In currency markets, the offshore Chinese yuan hit a 5-1/2-month high and the yen dropped to a 7-1/2-month low as sentiment rose on the trade outlook.

 

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