Stock market sentiment stabilised overnight.
Stock market sentiment stabilised overnight. Equities were still under pressure during the Asian session, where Hong Kong markets underperformed in catch up trade after returning from holiday, leaving the Hang Seng down -1.50%. Topix and Nikkei lost -0.40% and -0.50% respectively and while mainland China bourses tried to move higher after the break, rumoured purchases of state backed players didn't manage to lift indices lastingly and the CSI closed with a loss of -0.64% after Chinese officials suggested the national doesn't want a trade war, but isn't afraid of one. Conciliatory comments from U.S. President Trump, who said he will meet with China's President Xi Jinping in June and signs that the U.S. is holding off on tariffs on the remaining USD 325 B of imports from China helped to revive hopes that a deal will be reached eventually and saw investors moving back into equities during the European session. As of 10:37GMT the DAX was up 0.43% while FTSE 100 and CAC 30 posted gains of 1.04% and 0.78%. U.S. stock futures were up in the tune of 0.6%-0.9%, which points to a stronger start after yesterday's sell off. The front end WTI future meanwhile is trading at USD 61.35 per barrel.