Weekly News Summary for August 30 to Sept 5, 2019

Friday,  August 30: US Futures Extend Rally on Positive Trade News

US futures extended an earlier rally on Friday after China’s Foreign Ministry stated that the trade negotiating teams of both parties were keeping effective communication.
The evident de-escalation of tensions in both the US and China has supported the Dow by almost 3% this week. Read more about Weekly News Summary

Monday, September 2: UK Factory PMI Drops at Fastest Pace since 2012

UK manufacturing activity declined to its fastest rate since 2012 in August, as businesses continue to worry about the potential impact of Brexit.
The country’s factory PMI dropped to 47.4 from 48.0 in July, ending below the 50 dividing line for growth and contraction.

Tuesday, September 3: Pound Hits 3-year Low on Brexit Uncertainty

The British pound registered a 3-year low on Tuesday, leaving the $1.20 level, after opposition lawmakers began a bid to stop Prime Minister Boris Johnson from carrying out his plans to pull the UK out of the European Union without a proper deal on October 31. Read more about Weekly News Summary

The sterling down by 0.71% to $1.19 against the US dollar, having dropped by 0.85% on Monday, while the euro fell by 0.2% to a nearly 2-year low of $1.09.

Wednesday, September 4: Carrie Lam to Formally Withdraw Extradition Bill

Hong Kong chief executive Carrie Lam on Wednesday has offered her first concession to protesters’ demands, announcing her decision to formally withdraw the controversial extradition bill that has caused months of unrest in the region. Read more about Weekly News Summary

The proposed bill, which would have allowed Hong Kong citizens to be extradited to mainland China, is expected to be withdrawn within the next 24 hours, according to reports.

Thursday, September 5: Stocks Up on Confirmation of US-China Trade Talks

Stock markets worldwide traded in green territory on Thursday, after China announced plans to conduct trade talks with the US in early October, reinforcing the possibility of the trade war cooling down.

MSCI’s broadest index of Asia-Pacific shares outside Japan rose 1.08% to its highest since August 2, while US stock futures pared previous losses to gain 1%, whereas the Euro Stoxx 50 futures added 1.01%.

Read more: Weekly News Summary for August 23-29, 2019