Global Markets Rejuvenate on Hopes of U.S.-China Trade Talks

Global stocks surged as potential trade talks between the U.S. and China improved market sentiment. Despite disappointing tech earnings from Apple and Amazon, hopes for resolving trade tensions boosted indices worldwide. Japan’s finance minister highlighted the country's leverage in trade discussions with the U.S., tying global market movements to broader economic dynamics.

Global stocks witnessed a buoyant session on Friday as anticipation of potential trade negotiations between the U.S. and China improved market sentiment. Earlier concerns had been fueled by tech giants Apple and Amazon reporting uninspiring earnings, raising alarms on the escalating global trade war's impact.

China revealed on Friday that the U.S. had repeatedly expressed willingness to negotiate on tariffs, signaling Beijing's openness to discussions. This announcement provided relief to global markets, with the pan-European STOXX 600 index climbing 0.9% by mid-morning GMT after a recent downward trend.

In Asia, MSCI's broad index excluding Japan reached its highest point since March, recouping losses incurred since the trade war's inception. Japan hinted at utilizing its massive U.S. Treasury reserves in negotiations, highlighting the interconnected dynamics of global finance and international diplomacy.

(With inputs from agencies.)