Optimism about US-China trade negotiations gives Wall Street a strong boost

Wall Street once again ended the trading session at fresh records on October 27, thanks to optimism that the US-China trade war is about to ease, with a potential deal being reached when President Donald Trump and President Xi Jinping meet this weekend.

Trading activities at the New York Stock Exchange, USA on April 3, 2025. Photo: THX/TTXVN

Major indexes in New York rose sharply, with the Dow, S&P 500 and Nasdaq all closing at record highs on improved sentiment about trade talks. Notably, the S&P 500 closed above 6,800 for the first time.

Specifically, the Dow Jones industrial index increased 0.71% to 47,544.59 points. The S&P 500 index added 1.23% to 6,875.16 points at closing, while the Nasdaq technology index also increased 1.86% to 23,637.46 points.

The active trading session at the beginning of the week also saw impressive gains for Microsoft, Meta (Facebook's parent company) and other tech giants ahead of earnings reports later this week.

In Europe, stock markets were quieter, held back by the wait for interest rate decisions this week from the US Federal Reserve (Fed) and the European Central Bank (ECB). Accordingly, the FTSE 100 index in London (UK) increased 0.1% to 9,653.82 points at the close. The CAC 40 index in Paris (France) increased 0.2% to 8,239.18 points and the DAX index in Frankfurt (Germany) increased 0.3% to 24,308.78 points.

Overall, the positive sentiment in the market was fueled by reports that the US and China had found some common ground and pulled back on damaging retaliatory trade measures, said Fawad Razaqzada, market analyst at financial website Forex.com. All eyes are now on the October 30 meeting between US President Donald Trump and Chinese President Xi Jinping.

Mr Trump arrived in Japan on October 27 as part of a trip to Asia that could see the US and China end their bitter trade war. Speaking on Air Force One, Mr Trump expressed hope for a deal when he met with Xi Jinping on October 30, while also signaling a willingness to extend his trip to meet North Korean leader Kim Jong Un.

In the domestic market, at the end of the afternoon session on October 27, the VN-Index decreased by 30.64 points, or 1.82%, to 1,652.54 points. The HNX-Index decreased by 1.92 points, or 0.72%, to 265.36 points.

Source: https://baotintuc.vn/thi-truong-tien-te/lac-quan-ve-dam-phan-thuong-mai-my-trung-tao-suc-bat-manh-me-cho-pho-wall-20251028074029968.htm