NEW YORK, N.Y. – London stock prices opened marginally higher on Monday as trade optimism lifts over the US-China trade negotiations.
The FTSE 100 gained up to 0.6% on stocks, rising up about 42.75 points towards 7,369.56. The FTSE 250 also started Monday with a 0.4% rise, going up by 79.92 points towards 20,565.73. The AIM All-Share was also moderately higher with a 0.1% increase, gaining about 1.12 points towards 908.02.
The Cboe UK 100 index also came out optimistic with a 0.4% rise on stocks to 12,468.93, while the Cboe UK 250 got a moderate 0.1% increase towards 18,395.45. On the other hand, the Cboe UK Small Companies came out flat during an early trading session, remaining at 11,298.77.
In Euro equities, Frankfurt’s DAX 30 gained a significant 0.6% while the CAC 40 index in Paris rose by 0.5%.
According to some analysts at FXPro, Euro markets edged a bit higher early on Monday following the statement from the US government saying that an agreement for phase one of the US-China negotiations is still possible before the end of this year. With the positive update from the conflicting sentiments of last week, markets are optimistic about the fact that two of the biggest economies in the world can possibly end the trade war that has been going on for months. It also gives hope to market players that the tariff hike the US will start to impose in December will be postponed, which could negatively affect the global and finance market.
Stock markets are moving uptrend cautiously at the same time that volatility continues, which could suggest that market volatility will possibly explode in the future, said analysts.
Miners are also rising in the FTSE 100 as the optimism towards the trade development between the US and China increases. Rio Tinto also came out with a 2.0% increase along with Glencore, Anglo American, and BHP with 1.8%, 1.7%, and 1.6% increase, respectively.
Burberry Group fashion house was also up but 1.4% along with the same 1.4% rise on the shares of LVMH in Paris.
Gold also edged moderately on Monday, going up towards $1,457.29 per ounce from its $1,464.30 value per ounce late Friday.
On the other hand, or midcaps, the Petrofac was not as optimistic early Monday, tracking a 1.0% decline on shares. The decrease came after the report on Sunday, which stated that the oilfield services firm is currently facing another set of investigations due to corruption, which is not the only issue the firm is facing right now. Petrofac also has an ongoing investigation over reported money laundering and bribery by the UK Serious Fraud Office.