In Asian Equity Markets markets pushed higher on Monday as signs of progress in the Sino-U.S. trade standoff whetted risk appetites, while pressuring safe-haven bonds and the yen. Australia’s main index gained 0.9% and South Korea firmed 1.3%. While Tokyo was on holiday, Nikkei futures were trading at 22,105 compared with a Friday close of 21,798 in the Nikkei index. In China, the CSI 300 of Shanghai- and Shenzhen-listed stocks rose 1.3 per cent to a one-month high and Hong Kong’s Hang Seng was up 0.8 per cent.

In Currency Markets the U.S. dollar held near a 2-1/2-month high against the yen on Monday on signs of progress in U.S.-China trade talks, while sterling’s rally ran out of steam after touching a 3-month peak on hopes for an orderly British exit from the European Union. In Asian trade on Monday, the dollar inched down to 108.34 yen, while the euro stood at $1.1034 versus the greenback, off Friday’s three-week high of $1.10625. The pound was trading cautiously at $1.2608 having jumped to a 15-week high around $1.2705 on Friday.

In Commodities Markets oil prices eased on Monday as scant details on the first phase of a trade deal between the United States and China undercut last week’s optimism over the thaw that helped to lift crude markets by 2%. Brent crude futures edged down by 25 cents to $60.26 a barrel, while U.S. West Texas Intermediate (WTI) crude futures was at $54.45 a barrel, down 25 cents. Both contracts rose more than 3% last week, their first weekly gain in three.

In US Equity Markets stocks ended more than 1% higher on Friday, but below their session highs, after the announcement of a partial trade deal between the United States and China. The S&P 500 gained 1.09%, to 2,970.01 and the Nasdaq Composite added 1.34%, to 8,057.04. Chipmakers with a sizeable exposure to China rose in early trading, with the Philadelphia Semiconductor index gaining 2.5%. Apple rose 2% as Wedbush raised its price target, citing confidence in the company’s new video streaming service.

In Bond Markets the progress on trade front was still enough to slug safe-haven bonds with yields on U.S. 10-year Treasury notes climbing 23 basis points last week to stand at 1.74%. The yield curve also steepened as short-term rates were held down by news the Fed would start buying about $60 billion per month in Treasury bills to ensure “ample reserves” in the banking system.